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Cablegate: Media Reaction: China's Security, Cci Corporate Bribery

VZCZCXRO4776
RR RUEHCN RUEHGH RUEHVC
DE RUEHBJ #2477 2430907
ZNR UUUUU ZZH
R 310907Z AUG 09
FM AMEMBASSY BEIJING
TO RUEHC/SECSTATE WASHDC 5831
INFO RUEHOO/CHINA POSTS COLLECTIVE
RHMFIUU/CDR USPACOM HONOLULU HI

UNCLAS BEIJING 002477

DEPARTMENT FOR INR/R/MR, EAP/CM, EAP/PA, EAP/PD, C
HQ PACOM FOR PUBLIC DIPLOMACY ADVISOR (J007)
SIPDIS

E.O. 12958: N/A
TAGS: PREL ECON KMDR OPRC CH

SUBJECT: MEDIA REACTION: CHINA'S SECURITY, CCI CORPORATE BRIBERY
CASE, U.S.-CHINA "BASKETBALL DIPLOMACY"

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Editorial Quotes
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1. CHINA'S SECURITY

"Volatile situation in areas neighboring China tests China's
response capability" (pg 4)

The official Xinhua News Agency international news publication
International Herald Leader (Guoji Xianqu Daobao) (08/31): "China's
rise will face greater challenges if the security environment in the
areas neighboring China continues to deteriorate. Chinese experts
argue that a complicated and chaotic 'belt' of security challenges,
including nuclear weapons, gambling, drugs, and terrorism, surrounds
China. Few countries in the world face as complicated a security
environment as China. The U.S., the superpower, is geographically
situated far away in North America, which allows it to achieve
hegemony. China's diplomatic focus should be on Asia, but up to
this point China has not focused enough on its Asia policy. The
U.S., Japan, and South Korea have formed a small NATO in Northeast
Asia, closing off China to the east. In addition, India is
increasing its control over the Indian Ocean and plans to
collaborate with the U.S., Japan, and Australia in this area. All
of these countries have obvious plans to contain China, particularly
the U.S. The U.S. has even reached tacit agreement on this point
with small countries neighboring China."

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2. CCI CORPORATE BRIBERY CASE

"State-owned companies should not always supervise themselves" (pg
15)

The official Communist Party international news publication Global
Times (Huanqiu Shibao)(08/31): (Related to the Control Components
Inc. (a U.S. company) bribery case) "The State-Owned Assets
Supervision and Administration has established a special
investigation team to look into the recent bribery case involving
China National Petroleum Corporation (CNPC). This is a critical
step in supervising state-owned enterprises. CNPC's recent purchase
of a commercial real estate venture at one third of the announced
price has created wide-spread controversy. The CNPC responded by
conducting an internal investigation, which the public does not
trust at all. The public lacks confidence in CNPC's determination
and capability to investigate its internal problems. Therefore,
state-owned enterprises' self-supervision should stop. The active
measures taken by the State-Owned Assets Supervision and
Administration in investigating the CCI bribery case should serve as
a lesson for CNPC's real estate purchase."

3. U.S.-CHINA "BASKETBALL DIPLOMACY"

"'Basketball diplomacy' shows development of China-U.S. relations"
(pg 3)

The official Communist Youth League China Youth Daily (Zhongguo
Qingnianbao)(08/31): "The Washington Wizards' visit to China at Deng
Xiaoping's invitation 30 years ago witnessed the normalization of
U.S.-China relations. To commemorate this event, the Wizards will
visit China again starting on September 5. The Wizards are very
proud of their historic role in the development of China-U.S.
relations. At a reception held in Washington, China's Ambassador to
the U.S., Zhou Wenzhong, said the Wizards' visit to China will have
historic significance. The visit will not only commemorate the 30th
anniversary of China-U.S. relations, but will also be beneficial for
enhancing exchanges between the 'sister cities,' Beijing and
Washington. During the first China-U.S. Strategic and Economic
Dialogue last month, President Obama gave Vice Premier Wang Qishan a
basketball with his signature on it as a gift, which was seen as
symbolic of the dialogue. The Washington Wizards' return to China,
30 years later, will help turn a new page in China-U.S. relations.
'Basketball diplomacy' seems to be playing an increasingly important
role in China-U.S. relations."


HUNTSMAN

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