Research Proposal on "US China Trading Relations"

Research Proposal 14 pages (3988 words) Sources: 11 Style: MLA

[EXCERPT] . . . .

U.S. CHINA TRADING RELATIONS

The objective of this work is to examine China and U.S. trading relations of Post-Tiananmen China from the perspective of Chinese businessmen. This work will answer the questions of:

In the context of the U.S. hostility towards China after Tiananmen incident, how privatized firms and businesses flourished along the southeastern coast of China during the 90s. focus on firms exports to the U.S. And affects of bilateral policies;

Chinese businessmen's early impression of U.S. And how they felt about the differences between business styles of the U.S. And China; and 3) how it is that such firms are affected during each of the major transitions or incidents later on, from Hong Kong's return to China's WTO concession, from September 11th to the recent financial crisis of the U.S., reflecting the bigger picture of China - U.S. tradings.

Finally, this work will discuss risks of opening China and what it meant for the value influences to the Chinese company managers.

INTRODUCTION

In 1989, the government of the People's Republic of China (PRC) massacred pro-democracy demonstratros in Tiananmen Square, the People's Republic of China "annual trade surplus with the United States has ballooned from $6.2 billion to $83.8 billion. This is the largest annual trade deficit the United States has ever run with any single country - outstripping even the historically large annual trade deficits that the United States has run with Japan." (Human Events, 2001) the imbalance in trade made the provision that the People's Republic of China needed to procure advanced weaponry from Russia.

I. CHINA EYES the HEGEMON (GRIES, 2005)

The work of Peter Hays Gries (2005) entitled: "China Eyes the Hegemon" states that the "...'strategic contradictions" between China and the United States are not seen solely in structural terms, however; Chinese analysts also pay close attention to its emotional and ideological dimensions. "Some very powerful people in the Bush administration have a truly insane desire to contain China..." according to Jiu Jung of Beijing University. It is related that while analysts in America hold a view of hegemony as being "an objective status or position...' (Gries, 2005) Hegemony (baquan) to the Chinese is a "subjective attitude or desire akin to bullying." (Gries, 2005)

Gries states that it is not therefore surprising that 'Chinese analysts have paid close attention to the influence of neoconservatives on American foreign policy. A cover story on the "neocons" in a fall 2003 issue of the Chinese journal World Affairs involved a lengthy interview with five Chinese experts who agreed on three central points..." (Gries, 2005) Those points are stated as follows:

1) the neocons favor unilateralism and military power over multilateralism and diplomacy. The magazine's cover design -- a U.S. flag composed of an aircraft carrier for the stars and U.S. missiles for the stripes -- reinforces the point;

2) Second, neo-conservatism involves a blend of idealism and offensive realism that sees democracy as the panacea for terrorism, China, and other global problems. According to Qin Yaqing, vice president of China's School of Foreign Affairs, Bush first began searching for enemies upon taking office, and the "neocons" acted as his guide." According to Gries (2005) in light of the fact that "...a respected moderate like Qin has such a malevolent view of Bush's intentions is reflective of broader Chinese fears about U.S. preeminence;

3) Since neocons view China as a latent but inevitable empire, they necessarily advocate a policy of containment. Current U.S.-China cooperation, therefore, is not likely to last long. (Gries, 2005)

The consensus among Chinese academics is that there will be an "imminent demise of the American empire..." And for example is stated that Xin Benjian "...of the Chinese Academy of Military Sciences argues that international opposition and economic and moral costs doom the Bush administrations "dream" of a "new Roman empire" to failure. The invasion of Iraq was generally seen in China as a turning point in the rise and fall of the American empire. Zhou Guiyin of the Nanjing School of International Relations argued in the summer 2003 issue of International Survey that the United States committed a strategic blunder by attacking Iraq, failing to match means and ends: "History repeatedly shows that military victories do not guarantee the realization of political objectives." Iraq, in Zhou's view, was a diplomatic defeat for the United States, leading to a decline in its soft power. Public intellectual Liu Xiaobiao goes further, asserting that "America's sun is not bright." (Gries, 2005)

It is interesting to note that the strategies of the Chinese geared toward curbing U.S. power "ironically overlap considerably with the strategies that American liberals advocate to shape a rising China into a peaceful, status-quo power. "Engaging" China and promoting trade, legal reforms, and China's participation in international institutions, liberals argue, will increase the likelihood that China will democratize and emerge as a U.S. partner over the course of this century. Chinese analysts have a point when they maintain that for many American liberals, "engagement" is merely a means to the end of "containment." But it is clear that China plays the same game, seeking to constrain the exercise of American power through bargaining, binding, and buffering policies. For instance, just as the United States uses its bilateral alliances in Asia to constrain China, China uses its seat in the un Security Council to constrain the United States. Both Washington and Beijing, in other words, frequently treat each other as giant Gulliver's to be tied down by tiny Lilliputians." (Gries, 20005)

II. PRIVATE BusinessES in CHINA

The work of Larsen and Kirk (2005) entitled: "Congress and the Updating of the U.S.-China Relationship" states the following Chinese proverb which is known in the West as the "Blind Men Feelings the Elephant' and is a proverb in which "...several blind men, each touching a different part of an elephant, seek to identify what is in their hands. One man, holding the tail, declares the object is a rope; another touches the elephant's side and identifies it as a wall, and so on. The tusk becomes a spear, the trunk a snake, the leg a tree, and the ear a fan. The blind men argue. Each is partly right, and partly wrong, but none "grasps" the full animal." (Larsen and Kirk, 2005)

Larsen and Kirk state that caught in the complex dilemma of the "diverse dimensions of China's rapid emergence into the international, Great Power stage" are diplomats, companies and scholars, as well as members of the United States Congress as these individuals are "pulled in different directions by security, trade, and human rights considerations, Congress is caught in an intense debate over whether and when China should be seen as a threat or opportunity, a destabilizing force or a growing stakeholder in the international system. Most importantly, Congress must work with the President to decide how America should respond. Increasingly, members are appreciating that China's rise may be the most significant event in international affairs in the 21st century." (Larsen and Kirk, 2005)

The rate at which China has grown is almost inconceivable. In fact, "...between 1981 and 2001, more than 400 million people in China emerged from poverty." (Larsen and Kirk, 2005) One example of the 'rags-to-riches' stories in China is the example of "Mr. Liu Yonghao, for example. Mr. Liu is president of the New Hope Group, a Chinese company largely focused on animal feed production. In 1982, while working as a teacher in rural China, Mr. Liu launched a small family business. Though fraught with great personal entrepreneurial risk, Mr. Liu believed in his business so much that he quit his job, sold his watch, a bicycle, and some other personal items for U.S.$120, and took a plunge into the business world. Business was dicey for a time and, at one point, Mr. Liu was forced to jump into the Yangtze River in order to escape creditors who were hounding him. But he persevered and his business eventually took off. Today, Mr. Liu is one of the wealthiest private businessmen in China, worth more than $1 billion." (Larsen and Kirk, 2005)

III. VIEW of BusinessMEN in CHINA

The work of Ahearn (1998) entitled: "China's Economy: Findings of a Research Trip" states: "Most Hong Kong officials and businessmen with whom we met expressed confidence that Hong Kong's importance to China as a source of finance and services will continue to grow. Grounds for a more guarded assessment, however, became apparent based on the challenge Asia's financial crisis was posing for Hong Kong and China, and on Hong Kong's own growing internal problems. Thus, it appeared that the Hong Kong-China or "one country-two systems" arrangement remains delicate, subtle, and potentially vulnerable to stress..." (Ahearn, 1998) the effects on the rest of the world include: (1) positive; and (2) negative effects. Including: (1) shifts in world trade; (2) shifts in production; (3) shifts in the environment; (4) shifts in foreign relations; and (5) shifts in China's Communist and authoritarian form of governance." (Ahearn, 1998) it is reported to have… READ MORE

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