CHINA - A BILLION SLAVES
We Support
Them Out Of Selfish Greed
Zhao Ziyang died in
the last month and already China is trying to re-write history and rid the
world of his name. Zhao Ziyang was an
exceptional person, even if Communist. In his days as First Secretary of
the province of Sichuan, in the 1970s, he made important economic reforms to
the agricultural system. As a result, the living
conditions of farmers were improved. So much so that Sichuan became an
example of a positive model for development. Farmers had even come up
with a saying: "If you want to eat well, look for Zhao Ziyang". Later, he was promoted to the position of
prime minister and brought about initial economic reforms which loosened the
constraints of the Maoist system.
He also proposed
political reform, but his power was limited by Party conservatives and in
particular by the dictator Deng Xiaoping. In 1987, he became the Party's
Secretary General. At that time, he did all he could to stand in the way
of purges against intellectuals and called for democracy. In 1989, with
the birth of the democratic movement, he opposed Deng Xiaoping's repressive
policies. The Party was planning military intervention and the massacre
and Zhao went in tears to see the students.
The students knew
him well: they knew he wanted to resolve problems democratically, but they also
knew that he was alone. After that gesture, he was isolated and
eliminated from the Party. He was a man of exceptional courage and put
himself against the power of the Party.
Economic Reforms Without Democracy
He spent 15 years
under house arrest and 24-hour surveillance. The government knew that the
people respected him and, for this reason, tried to uproot his memory: there
was no talk of him; no photos were even shown. But today, Zhao is still
loved and respected, while farmers and workers detest Jiang.
The government is
corrupt, mediocre and cowardly. Such fearful behaviour toward any
political reform condemns the government vis-à-vis the people, who instead
praise Zhao Ziyang.
Fifteen years
later, the economic reforms, initiated thanks to Zhao, have turned, without
him, into an unbearable burden for the people of China, a perverse burden that
has produced greater poverty among farmers and large-scale job loss among
workers. The reason is that economic reforms have gone ahead without the
equally required political reforms. And this is exactly what Zhao Ziyang
had foreseen.
With Zhao out of
the picture, the Chinese government's sole preoccupation was social
stability. Even now, the government is afraid that Zhao Ziyang's death
might be a cause for some kind of protest. But nothing will happen.
Beijing is almost under martial law: there are policemen everywhere - even
tourists are being checked. The government started making its plans when
Zhao's conditions worsened.
Forget Zhao?
For the future, the
Party has but one line: forget Zhao as fast as possible. But, it won't be
easy. In China, people want more democracy. Party corruption has
become so bad that people want to have their say. Even journalists are
becoming more explicit and tension between media and government is
increasing. Intellectuals are calling for democracy and greater concern
for farmers and workers. Mine explosions, strikes, sit-ins, petitions,
police clashes are by now the daily agenda. China needs what Zhao
Ziyang wanted to bring about in the 1980s, namely social democracy: that
workers and farmers could freely form unions; the separation of political and
judicial powers; the separation of state and politics.
As for the
international community, we hope that Zhao is remembered by those who knew him
in the past: George Bush Sr, Margaret Thatcher, and others. We hope they
remember him also out of respect for the Chinese, who are keeping him, even
after his death, alive in their hearts. Zhao is remembered with respect;
Jang Zemin, even if still alive, is a cadaver that people have forgotten. Note One
Note IZhao's Economic Boom Feeds
Government and Not People
There's no real
mystery to what's taking place now. The Communists saw that what Zhao proposed
would work but they could not let go of power, so they use his ideas but give
the people nothing. Now, the country
has a practically endless supply of low-cost laborers--literally tens of millions
of people who will do assembly-line and manufacturing work seven days a week,
14 hours a day, for less than $100 per month.
Compare American
Costs of $3,300 per month for 40 hours
to China's $100 per month for 98 hours or 8.25 per hour to 1.02 per hour.
Practically every
major company in the world is moving some aspect of their business to China to
take advantage to slave labor, but even slaves at the time of Rome had more
than the Chinese Worker.
China now makes
about 60% of the world's cell phones, half of the world's shoes, and most of
the world's video games and television sets. China now makes 80% of the kids'
toys sold in the United States... and every major U.S. furniture manufacturer
now has a factory in China.
Plus, China now
makes some of the world's most luxurious goods. BMW assembles many of its
latest car models there--Mercedes and Cadillac are preparing to do the same.
This huge
manufacturing base has made China the fastest-growing major economy in the
world... by a long shot.
In fact, China's
economy will overtake Germany's in the next four years... Japan's in the next
11 years... and the U.S. economy by 2039.
China is Using 55% of the World's
Cement
To feed this
mammoth manufacturing base, Chinese businesses and the Chinese government are
going on a building and construction boom, the likes of which have never
been seen before, anywhere in the world.
Take the country's
highway system for example...
In 1989, China had tons of
bicycles--but only about 170 miles of highways. By the end of 2003, as
Forbes recently reported, the country had 18,500 miles of expressways.
To build all these
roads, the Chinese Government spent $42 billion. And they're only getting
started. According to the China's Ministry of Communications, the plan is to
reach 51,000 miles of highway by 2008 (that would top the United States...
46,500 miles of interstates in place right now).
The Chinese are
laying down roads so fast they used 55% of the world's cement last year.
That's incredible when you think about it. Remember, this is a country
that's slightly smaller than the United States... and they are using more than
HALF of the world's cement!
It doesn't matter
what it costs... the Chinese government is committed to putting down roads,
just like the United States started doing back in 1956, when Congress passed
the Federal Highway Act.
And highways are
only the beginning of the building boom...
As Barron's
reported recently: "China's government is [undergoing]... a massive upgrading
of the nation's infrastructure. It's in the middle of expanding and
electrifying its railways, irrigating the north with water from the Yangtze
River, and doing a construction for the 2008 Beijing Olympic Games. It's also
undertaking several major energy projects, including a 3,900-kilometer gas
pipeline."
The list of
infrastructure China needs is amazing. For example, right now the country has
about 1/3rd as many railways as we have in the United States... and about
1/15th as many airports. But China has more than 4-TIMES as many people.
The Chinese
government announced in September that they need to build 27 new nuclear
power plants between now and 2020, which will cost tens of billions of U.S.
dollars. And they've begun to expand the country's rail lines. They just
finished the world's fastest train, from Shanghai to the city's airport.
China needs more
railroads, airports, roads, bridges, buildings, parking lots, phone lines,
electrical lines, tunnels, power plants, etc. And the Chinese government is
looking to build all of these things... and fast.
WE GIVE THEM THE POWER
Almost every major
company in the world--from Dell to Intel... from Boeing to GM, now has a
factory in China.
Last year, foreign
businesses poured $52 billion dollars into China, much of it to build new
factories and manufacturing centers. The country has 300 car manufacturing
plants alone.
To keep up with all
of this new construction, China needs raw goods (oil, electricity, lumber,
concrete, copper, and steel, just to name a few), faster than they can get
them. And they are sucking up the world's supply at
a record pace...China
used more than half the world's cement last year... they also used 40% of the
world's steel, according to Barron's.
China uses 30% of all the coal that's consumed in the world... and the
country's oil demand has soared more than 400% in the last decade. China consumes 20% of the world's copper and
19% of the world's aluminum, according to a recent report in The Wall Street
Journal. In fact, the Chinese are so
desperate for raw materials that thieves stole 1,800 metal manhole covers in
Shanghai in recent weeks.
THE CHINA BANK
For the past few
years, the Chinese government has been socking away money like crazy. Unlike the U.S. government, the Chinese
government is rich. They actually have plenty of money to pay for all of this
new and necessary construction. According to the most recent estimates, the
Chinese government has $474 billion worth of gold and foreign money in
their central banks. That's more than 5-times what we have in the United
States (and keep in mind, our economy is still 3 times as big as theirs). Plus,
the Chinese have almost no debt--they owe less than 15%
The "China
Retirement Fund" is the name given to the 5 companies that supply China
with important raw goods and materials they need. Investors who know how to take advantage of this situation make
returns of 200% to 500% or more by simply owning China's raw goods suppliers.
Some of these companies are located inside the United States. Some are located
elsewhere... but none of these companies are located in China.
These companies
have operations all over the world, from Argentina to Australia... from the
United States to Korea... but not a single one is located in China. The
companies that make up the "China Retirement Fund" include:
#1.
The world's best natural resources company. This company provides China with much of the
steel, aluminum, copper, oil, and coal the country needs to construct roads and
buildings.
This company sold
1.25 million tons of aluminum over the past 12 months--a 33% increase over last
year. They sold $1.1 billion worth of steel--and China was the biggest consumer
and importer. They sold $1.15 billion worth of lead, zinc, copper, and
silver--a 304% increase over last year.
#2. The second company in the
"China Retirement Fund" is one of the
world's top suppliers of industrial and agricultural chemicals. They
provide the products that protect crops all over the world--everything from
soybeans and corn... to wheat, barley, sunflower, and flaxseed.
These agricultural
products are obviously used for food, but they are also vital to industrial
growth, used to help make: glue, linoleum, vinyl plastics, paints, caulking
compounds, protective coatings, rubber, resins, fiberboard, lacquers and
enamel, just to name a few.
With the building
boom taking place in China, it's no wonder this company's profits are up 34%
compared to last year... which were up 45% compared to the year before.
#3. The third company in The China Retirement Fund is
one of the most sophisticated and profitable
steel makers in the world. This company exported 2.5 million tons of
steel to China last year, and will ship much more than that this year, next
year, and every year for the foreseeable future.
#4. The fourth company in the
Fund is a scrap-metal business based on the West
coast of the United States. They recycle 4.9 million tons of metal
each year, and produce another 700,000 tons from their own steel mill. Their
high-tech machines turn a full-size car into fist-sized pieces of metal in
about 30 seconds.
#5. The fifth company in the
"China Retirement Fund" is one of
China's key soybean suppliers, and will soon be one of China's key lumber
suppliers. This is a business that today is valued at only about
$200 million in the stock market Over
the next decade, it will be worth $1 billion or more. This company has gained 31% in the past
6 months.
Never in the past
500 years of world history have we seen a situation like the one taking place
in China right now: The most populated country in the world has entered into a
building frenzy to play catch-up with other industrialized nations.
NOT MADE IN CHINA
"So what? I can buy Wal-Mart toys at half the price of
other stores. What would I pay for tennis shows if they were not made in
China?" These are the people who
buy products from China and many loose their jobs to the Chinese. The Unions world wide support the candidates
who support China to the destruction of their unions. Companies take large short term profits from China, when in time
they will take over their businesses entirely.
During the cold war against Russia we would not dare sell raw materials
to them or buy from them, but China is Communist, and China does not have a
god, and China does not allow religious freedom, and China jails any descent,
and China is out to destroy the world.
The difference is they will do it with money and not with bombs. When they have the power they need to
blackmail the world (or bankrupt it), they will take over Japan, Taiwan, and
all of Asia, and then India. When they
have the power to shut us down economically, what will we do.
There are 72
Catholic Congressmen who are pro-abortion and yet their Catholic Bishops let
them continue to take communion. What
does that have to do with China? We
could stop these Congressman by standing up and doing what is right but we do
nothing. The same is true about
supporting a country that has a billion slaves, we do nothing about it and saw
we are good a pure people. I do not
think so.
I would like to see
signs that say "Not Made In China" but even then how do we know that
some of the parts are not made in China or assembled in China. It has to be the entire government and maybe
the world to stop all shipping to and from China.
Note One,
Written by Cai
Chongguo. Cai, age 48, was in Tiananmen
Square when Zhao Ziyang, secretary of the Communist Party, went to see the
students that for 6 weeks had been filling the world's largest open space in
their fight for
democracy and against corruption. After the Tiananmen massacre and Zhao
Ziyang's sidelining, Cai fled to the west. Today he lives in exile in
Paris, where he works to support the workers and farmers of China in their
struggles. He agreed to share with AsiaNews his views on the former
Chinese political leader who died this morning.