Biden Admin has No Approach to Challenge China on Spratley Islands

Posted on April 8, 2021April 8, 2021 by Denise Simon

“An armed attack against the Philippines’ armed forces, public vessels or aircraft in the Pacific, including in the South China Sea, will trigger our obligations under the US-Philippines Mutual Defense Treaty,” State Department spokesman Ned Price told reporters.

known as maritime militia

“We share the concerns of our Philippine allies regarding the continued reported massing of PRC maritime militia near the Whitsun Reef,” Price said, referring to the People’s Republic of China.

More than 200 Chinese boats were first spotted on March 7 at Whitsun Reef, around 320 kilometers (200 miles) west of Palawan Island in the contested South China Sea, although many have since scattered across the Spratly Islands. President Joe Biden has vowed a robust defense of allies and, in a rare point of continuity with his predecessor Donald Trump, has supported strong pushback against Chinese assertiveness. source

*** Big money says that the Biden admin is too feckless to respond, meaning China gains control over the Spratley Islands unless other immediate nations take military action. Why? President Biden asserts he had a two hour phone conversation with President Xi….no mention of the pandemic or the contested claims in the South China Sea. Maybe Kamala knows….

The South China Sea is one of the most important bodies of water on the planet. Besides China, multiple nations including Vietnam, Malaysia, and the Philippines have their own, sometimes overlapping, claims to portions of the South China Sea. In addition to historic claims, according to the United Nations Convention for the Law of the Sea (UNCLOS), a nation has sovereignty over waters extending twelve nautical miles from its land and exclusive control over economic activities 200 nautical miles out into the ocean.

The South China Sea is rich with natural resources such as oil and gas. It accounts for 10 percent of the world’s fisheries and has provided food and a way of living for millions of people in the region for centuries. The region is also one of the busiest trading routes, with about one-third of global shipping and more than $3 trillion worth of global trade passing through this area annually.

When Xi Jinping became Communist China’s supreme leader in 2013, he regarded transforming China into a maritime power, including the expansion in the South China Sea, as a key component to his great Chinese rejuvenation. According to the Chinese Communist Party’s own publication, “On the South China Sea issue, [Xi] personally made decisions on building islands and consolidating the reefs, and setting up the city of Sansha. [These decisions] fundamentally changed the strategic situation of the South China Sea.” source

A video released by space technology firm Maxar shows a piece of land has been added to Subi Reef. Photo: Handout photo dated February 20, 2021

Maxar satellite photos show that China has added land mass to the Subi Reef. Further, the Philippine Coast Guard/National Task Force West also has photos of 200 Chinese ships moored at the Whitsun Reed.

***

The Spratly Islands consist of more than 100 small islands or reefs surrounded by rich fishing grounds – and potentially by gas and oil deposits. They are claimed in their entirety by China, Taiwan, and Vietnam, while portions are claimed by Malaysia and the Philippines. About 45 islands are occupied by relatively small numbers of military forces from China, Malaysia, the Philippines, Taiwan, and Vietnam. Since 1985 Brunei has claimed a continental shelf that overlaps a southern reef but has not made any formal claim to the reef. Brunei claims an exclusive economic zone over this area.

Paracel and Spratly Islands source

The islands are strategically located near several primary shipping lanes in the central South China Sea; includes numerous small islands, atolls, shoals, and coral reefs and the attraction for all the countries claiming control/ownership is nearby oil- and gas-producing sedimentary basins indicating potential oil and gas deposits, but the region is largely unexplored.

Why the notion that the Biden administration has a feckless approach on China and the disputed island? China is assessed to have 7 outposts (Fiery Cross, Mischief, Subi, Cuarteron, Gavin, Hughes, and Johnson reefs); the outposts on Fiery Cross, Mischief, and Subi include air bases with helipads and aircraft hangers, naval port facilities, surveillance radars, air defense and anti-ship missile sites, and other military infrastructure such as communications, barracks, maintenance facilities, and ammunition and fuel bunkers. source

U.S. Investment Funds Fuel China’s Economy to Our Peril

Posted on February 19, 2021February 19, 2021 by Denise Simon

In part from the WSJ:

Shock waves rippled through the investment world when China halted the initial public offering of Ant, which would have been the world’s biggest. The decision was signed off by President Xi Jinping after controlling shareholder Jack Ma infuriated government leaders by criticizing government financial regulation in an October speech, The Wall Street Journal reported.

For the past several years, the retirement savings of America’s police, firefighters and teachers have increasingly found their way to private companies in China such as Ant. Anxious to meet ambitious return targets in a low-yield world, large North American pension funds have committed growing sums to both global private-equity managers active in China and managers local to China, according to pension officials and their advisers and investment reports.

This has contributed to a larger boom in Chinese deal making for U.S. institutional investors. Private-equity-backed deals of $300 million or more in China involving exclusively U.S.-based investment managers totaled nearly $13 billion between 2010 and 2019, according to Preqin data. Deal activity peaked in 2018 at $3.78 billion. For investors and investment managers world-wide in 2020, private-equity investment in internet and technology in China was $52 billion, according to consulting firm Bain & Co.

source

***

To put a finer point on the matter:

China overtook the U.S. as the world’s top destination for new foreign direct investment last year, as the Covid-19 pandemic amplifies an eastward shift in the center of gravity of the global economy.

New investments by overseas businesses into the U.S., which for decades held the No. 1 spot, fell 49% in 2020, according to U.N. figures released Sunday, as the country struggled to curb the spread of the new coronavirus and economic output slumped.

China, long ranked No. 2, saw direct investments by foreign companies climb 4%, the United Nations Conference on Trade and Development said. Beijing used strict lockdowns to largely contain Covid-19 after the disease first emerged in a central Chinese city, and China’s gross domestic product grew even as most other major economies contracted last year.

The 2020 investment numbers underline China’s move toward the center of a global economy long dominated by the U.S.—a shift accelerated during the pandemic as China has cemented its position as the world’s factory floor and expanded its share of global trade.

While China attracted more new inflows last year, the total stock of foreign investment in the U.S. remains much larger, reflecting the decades it has spent as the most attractive location for foreign businesses looking to expand outside their home markets.

Foreign investment in the U.S. peaked in 2016 at $472 billion, when foreign investment in China was $134 billion. Since then, investment in China has continued to rise, while in the U.S. it has fallen each year since 2017.

The Trump administration encouraged American companies to leave China and re-establish operations in the U.S. It also put Chinese investors on notice that acquisitions in the U.S. would face new scrutiny on national security grounds—cooling Chinese interest in American deal making.

In 2020, the Washington Post reported:

The federal retirement fund is about to invest in China. Some former U.S. military leaders object.

National security adviser Gen. James Jones watches as President Barack Obama and South Korean President Lee Myung-Bak hold a joint press availability in the Rose Garden at the White House in 2009. (Win McNamee/Getty Images)

Eric Yoder

The retirement savings program for federal and military personnel is preparing to more than double the number of countries represented in its investment fund that tracks international stock markets.

One of the countries to be added is China — and that’s a problem for some people.

Eight former senior military leaders have issued an open letter seeking to prevent the change, which is set to take effect in the second half of this year. The letter has rekindled a controversy that has flared several times since the Thrift Savings Plan first committed to broadening its international stock fund, called the I Fund.

The result, the letter said, will be that a portion of money in the fund will be invested in Chinese companies including “weapons manufacturers, U.S.-sanctioned entities and other malevolent enterprises of the Chinese Communist Party.”

“It is especially intolerable to those of us who have proudly served the Nation in uniform that our retirement investments will help its enemies threaten our comrades-in-arms and the country we love,” said the letter, whose signers include two former White House national security advisers, retired Commandant of the Marine Corps Gen. James L. Jones and retired Navy Vice Adm. John M. Poindexter.

The letter was released in coordination with the Committee on the Present Danger: China, which defines its mission as “to educate and inform American citizens and policymakers about the existential threats presented from the Peoples Republic of China under the misrule of the Chinese Communist Party.” The group, a successor to similarly named Cold War-era organizations, was reconstituted last year by Stephen K. Bannon, former chief strategist to President Trump, and others who hold hawkish views on China.

The letter was meant to draw the attention of current military leaders, Trump, Congress and TSP investors, said Frank Gaffney Jr., vice chairman of the group, in a phone interview.

WHO Reports other Possible Diseased Animals and Covid

Posted on February 19, 2021February 19, 2021 by Denise Simon

Per the WSJ in part: World Health Organization investigators are honing their search for animals that could have spread the new coronavirus to humans, identifying two—ferret badgers and rabbits—that can carry the virus and were sold at a Chinese market where many early cases emerged.

Members of a WHO team probing the pandemic’s origins say further investigation is needed into suppliers of those and other animals at the market, some of which came from a region of China near its Southeast Asian borders where the closest known relatives of the virus have been found in bats.

Team members say they have yet to establish all the creatures sold, legally or illegally, live or dead, at the market in the Chinese city of Wuhan that was tied to the first known cluster of cases in December 2019.

China’s National Health Commission and foreign ministry declined to comment.

The WHO team is juggling multiple competing hypotheses and still isn’t sure if the virus first jumped from animals to humans at the market or if it was circulating elsewhere first.

***

Has anyone asked what wildlife China exports to the United States? Hello investigative journalists, where are you? What would Customs and Border Patrol have to report on this matter? They do the inspections or should when not chasing illegal migrants coming across our Southern border or working with ICE to track down criminal aliens.

Looking a little deeper:

Wild products are regarded as superior to farm-raised, and the legal market simply makes it easier to launder poached animal products.

During a recent EIA investigation in China, undercover agents spoke with three different ivory traders who all said that at least 90 percent of what they trade legally is poached, said Thornton. A common method of feeding illegal products into the market is reusing and counterfeiting government-issued permits. Meanwhile, about 96 African elephants are killed each day for their ivory, a rate that could wipe them out within a decade.

China is the largest market for illegal wildlife products – and the market continues to grow. “Wildlife species that are bred in captivity for commercial purposes make some products widely available, which drives up consumer demand and increases poaching in the wild,” said Sharon Guynup, an environmental journalist and Wilson Center public policy fellow.

Reducing Demand, Stopping Trade

To reduce consumer demand in China, the non-profit International Fund for Animal Welfare (IFAW) has run several innovative outreach campaigns, said Grace Ge Gabriel, the regional director of IFAW’s Asia chapter.

In one campaign, Chinese pop stars, athletes, TV celebrities, and CEOs denounced buying wildlife products in a series of public service announcements and ads that were posted on billboards, buses, in airports, and other public places. Another initiative targeted the belief that ivory comes from elephant teeth and the extraction didn’t kill them. An IFAW survey found that in 2007, 70 percent of Chinese people didn’t know that elephants died for the ivory trade. Three years into a campaign to change this misconception, they found that of the 44 percent of people who had bought ivory in the past year, only seven percent said they would do so again.

More detail here.

Humm, it is quite the business it seems. China Animal Exports to United States in 2018 was more than $2 million.

In 2018, the top partner countries to which China Exports Animal include Hong Kong, China, Japan, United States, Korea among others. Details here.

One must also ask what other countries trade animals with China that also partner with the United States that put health of humans at risk?

Last April, Fox News at least touched on the matter.

pangolin

China is offering tax incentives to wild animal exports despite banning their sale and consumption within the country amid fears that the practice was responsible for the global COVID-19 pandemic, according to a Sunday report.

SMALL-TOOTHED FERRET-BADGER LIFE EXPECTANCY

Although no consensus has been reached on the virus’ origins, multiple studies have pointed to so-called “wet markets” in the southeastern Chinese city of Wuhan, where wild animals were bought and sold for consumption.

COVID-19 is one of a “family” of coronaviruses commonly found in bats. It is suspected to have passed through a mammal, perhaps pangolins – the most-trafficked animal on the planet – before jumping to humans.

At these wet markets, live, wild-caught animals, farm-raised wild species and livestock frequently intermingle in unsanitary conditions that are highly stressful for the animals – circumstances that are ripe for infection and spillover.

In February, China’s government banned the sale and consumption of wild animals, saying that its “potential risk to public health has aroused wide public concern.”

But within a few weeks, the country’s Ministry of Finance and tax authority announced it would offer tax incentives to the export of wild animal products, The Wall Street Journal reported, citing government records.

Is Biden on the Path to Terminate Space Exploration and Space Force?

Posted on February 4, 2021February 4, 2021 by Denise Simon

White House spokesperson, Jen Psaki gave a snarky reply when asked a question about the Space Force. Psaki responded she had no idea who the Space Force point of contact was and later added that Space Force had the full support of President Biden. Exactly how would she know? Jen Psaki later had to issue a circle back tweet:

We look forward to the continuing work of Space Force and invite the members of the team to come visit us in the briefing room anytime to share an update on their important work.

— Jen Psaki (@PressSec) February 3, 2021

In part: WASHINGTON — In a new strategic vision, Gen. James Dickinson outlines the truths and tasks U.S. Space Command must adopt in order to maintain American space supremacy.

The breezy eight-page document reaffirms the incredible value space provides to the nation’s economy and military, but warns of the growing threat posed by anti-satellite weapons being developed by China and Russia. Throughout the Trump administration’s term, officials frequently cited the development and testing of anti-satellite weapons as a justification for the establishment of both Space Command and the U.S. Space Force, blaming China and Russia for bringing to space the potential for conflict and war.

Space is a vital interest that is integral to the American way of life and national security.

Space superiority enables the joint force to rapidly transition from competition to conflict and prevail in a global, all-domain fight.

Space war fighters generate the combat power to win in space.

Space provides the war fighter a combat advantage from the ultimate high ground to the last tactical mile.

President Joe Biden is making his space policy preferences increasingly clear: America will remain grounded for the time being.

On Jan. 28, SpaceX was set to put its Starship rocket through another test in the blue skies above Texas. The objective of the test was to get the massive rocket up to 12.5 kilometers — about seven miles — above the Earth and then spin the giant rocket around so that it could make a vertical landing. The First U.S. Space Force Launch Is This Afternoon ...

Sadly, the visionary goal of getting Americans to Mars first came crashing down when the Federal Aviation Administration (FAA) which, under the Trump administration had allowed for SpaceX to conduct their important test flights, ordered Mr. Musk to cancel the Starship prototype test.

The FAA did not cite its reasoning behind ordering the cancellation of the launch. Many have speculated that the cancellation was brought about due to safety concerns. After all, in December 2020, SpaceX did a test of the experimental rocket. The Starship prototype made it to a height of 41,000 feet. Once it reoriented itself, in order to allow for the rocket to land vertically, the great silver spacecraft promptly did a bellyflop that ended in a massive explosion.

Despite this, SpaceX learned many valuable lessons from the December failure that were to be applied to the Starship launch in January. In science, the only lasting failure occurs when one does not test a new idea or hypothesis. This axiom is especially true in the context of the new space race between the United States and China.

It’s likely that the FAA’s decision to cancel the launch is part of a wider Biden administration effort undo the Trump administration’s vibrant space policy. Plus, former President Trump’s space vision was explicitly aimed at countering advances made by China in space. It is unlikely that the Biden administration seeks to continue that policy, as the Biden team attempts to stabilize deteriorating relations with Beijing over the next few years.

Concern over Mr. Musk’s Martian intentions is likely another factor for the FAA’s cancellation of the Starship launch. Last year, Mr. Musk indicated that any future SpaceX Martian colony would not be “ruled by Earth-based laws.” The problem for Mr. Musk is that SpaceX has been awarded lucrative contracts by the Earth-based U.S. government. If SpaceX were to create a colony on Mars, because of the company’s contractual relationship with the U.S. government, Washington very much expects that colony to be an American endeavor.

Lastly, Mr. Musk has been publicly supportive of the recent “GameStonk” controversy. A group of anonymous, individual investors on Reddit decided to engage in a little activism by inflating the stock price of Gamestop, a video game retailer. Melvin Capital, a storied Wall Street investment firm, was forced into bankruptcy by this move (they took the other side of the bet, attempting to short the Gamestop stock).

The “GameStonk” event was so significant that the Biden administration is vowing to prevent something similar from happening again. Congress is even getting involved. Because of Mr. Musk’s prestige and his vocal support for the Redditors who helped to take down Melvin Capital, it is possible that the Biden administration was punishing Mr. Musk by canceling the Starship launch at the last minute.

It is not only Mr. Musk who suffers from the FAA’s cancellation of the SpaceX test flight. We, the American people — and the entire effort to beat China to Mars — suffer. The Biden administration’s decision to increase regulations on the private space launch services sector and slow down their operations, as evidenced by the recent Starship launch cancellation, will only help China in its ongoing mission to defeat America in the new space race. More here.

***. Earth calling: SpaceX capsule carrying NASA crew to land ...

Musk, 49, is widely heralded for disrupting the auto industry with high-performance electric cars and upending Big Aerospace with reusable rockets.

His companies are growing: Tesla is building new factories in Berlin and in Austin, Texas, while SpaceX — which has contracts with the Air Force and NASA — is rolling out Starlink, its high-speed internet service, to rural and remote customers across the U.S., Canada and the U.K. There’s also Boring Co., his tunnel-construction business, and Neuralink, which is testing its brain machine interface device on monkeys and pigs and hopes to begin human trials this year. More here.

Chinese Communist Party is “inside the gates”

Posted on January 17, 2021January 17, 2021 by Denise Simon

In part from Breitbart:

Secretary of State Michael Pompeo warned lawmakers that the threat from the Chinese Communist Party is “inside the gates” during a meeting with House Republican lawmakers on Friday.

Pompeo told members of the conservative Republican Study Committee that as a former lawmaker, he is aware of the threat posed by China but that he did not appreciate “the scope and the scale and the nature” of how close the threat is until he became Central Intelligence Agency director.

This CCP infection inside the United States goes beyond Senator Feinstein, Congressman Eric Swalwell, former California Senator, Barbara Boxer or even closing the Chinese embassy in Houston. There is the Thousand Talents Program that has wormed it's way through academia and the Confucius Institutes.

How about a little known Florida congresswoman, Stephanie Murphy (D-FL)? She is quite dedicated to China due in part to her husband Sean and his manufacturing company, 3N2. His company produces sports equipment/apparel in China. Further, she advocates for all the democrat policy points including open-border policies and more studies into “gun-violence”. Crazy enough, Murphy actually joined a small group of Democrats in calling to remove tariffs on the Chinese government.

None of this is actually new when it comes to Stephanie Murphy, in fact it goes back as far as 2017. Did anyone notice?

When you are on social media, do you actually work hard to determine if you are being trolled by some foreign entity? We are quite aware of Russian disinformation but going back years, at least to 2016 (interesting year), China's own troll farm has been just as successful in the social media sphere and you are likely a victim. DC politicians are just as likely to be willing accomplices.

There is or was a Chinese operation called the 50-centers and you probably clicked on a lot of their social media posts.

The Left-leaning policy organization Foreign Policy published the following in 2016.

A May 17 paper written by professors at Harvard, Stanford, and the University of California, San Diego provides the most detailed and ambitious description of China’s 50-centers available to date. It confirms the existence of a “massive secret operation” in China pumping out an estimated 488 million fabricated social media posts per year, part of an effort to “regularly distract the public and change the subject” from any policy-related issues that threaten to anger citizens enough to turn them out onto the streets. But the research finds no evidence these 50-centers are, in fact, paid 50 cents, nor does it find they engage in direct and angry argument with their opponents. Instead, they are mostly bureaucrats already on the public payroll, responding to government directives at a time of heightened tension to flood social media with pro-government cheerleading.

photo

Understanding the behavior of pro-government netizens is important, given the stakes. In the past two and a half years, the Chinese government has used a combination of muscle and guile to cow online opinion leaders into submission, muzzling social media as a political force, and leaching public dialogue of much of its independence. But beneath the peppy, pablum-filled surface that has resulted, Chinese social media remains a contested space. In countless online chat rooms, bulletin boards, and Weibo threads, Chinese social media roils with the same ideological debates that also increasingly consume Chinese academics and elites.

Broadly speaking, the clash pits so-called leftists — that is, conservatives and neo-Confucianists who marry stout Chinese nationalism, a yearning for reconstructed socialism, and the quest for a reversion to hierarchy and filial piety — against rightists, or reformists, who continue to espouse what a Westerner would recognize as universal values, such as civil and human rights, government transparency, and democracy and constitutionalism. It’s more common for the two camps to exchange barbs than ideas. The leftists label the rightists sellouts, turncoats, and “public intellectuals,” the latter delivered with an implicit sneer. The rightists often call the leftists “50-centers,” regardless of who really pays their bills.

What is worse is a separate issue known as the Chinese cyber-attacks. A for instance however:

More than two dozen universities in the United States and around the world were targeted as part of an effort by the People’s Liberation Army, the Chinese military, to build up its naval and submarine forces.

iDefense, one security firm, tracked the Chinese cyberattacks to a hacking group known variously as Temp.Periscope, Leviathan or Mudcarp. A second firm, FireEye, calls the hacking group APT40 or Temp.Periscope.

FireEye said the operations appear linked to Chinese activities in the South China Sea, where Beijing has built disputed islands and deployed advanced missiles on them beginning a year ago. The Chinese military hacker unit in charge of that region is the Chengdu-based Unit 78020.

The 27 universities included the University of Hawaii, the University of Washington and the Massachusetts Institute of Technology.

Take caution, judge slowly. Secretary of State Mike Pompeo is right.