ECONOMIC
ECONOMIC PROSPERITY
NATIONAL SECURITY
INTERNATIONAL STANDING
REGIONAL RELATIONSHIP
SUCCESSFUL
China's economic growth: China has had a growth rate of 6% for the last 30 years until 2015
SUCCESSFUL
Expanding and modernising miltary
UNSUCCESSFUL
Coastal and urban China versus inland and rural China
UNSUCCESSFUL
World's second largest economy by nominal GDP and the world's largest economy by purchasing power parity
China is the world's largest manufacturing economy and exporter of goods
It is also the world's fastest growing consumer market and second largest importer of goods.
The provinces in the costal regions of China tend to be more industrialised while regions inland are less developed
The provinces in the costal regions of China tend to be more industrialised while regions inland are less developed
The cost of expanding military
SUCCESSFUL
Aid
Focused in the Pacific Island region - most significantly PNG
China has diplomatic relations with 8 Pacific island countries: the Cook Islands, Federated States of Micronesia, Fiji, Niue, Papua New Guinea, Samoa, Tonga and Vanuatu, Others recognise Taiwan
In addition to its bilateral aid program and support for regional organisations, China also provides scholarships for Pacific islands students and significant human resources training for government officials
Belt and Road Initiative
Development strategy adopted by the Chinese government involving infrastructure developments and investments
"Belt" - refers to the overland routes for road and rail transportation
"Road" - refers to the sea routes
A bid to enhance regional connectivity embrace a brighter future
See it as a push for Chinese dominance in global affairs with a China - entered trading network
SUCCESSFUL
Desirable Trade Partner
Has free trade agreements with several states, including ASEAN, Australia and New Zealand
Cheaper for states and companies to get goods from China
Aid
Focused in the Pacific Island region - most significantly PNG
$1,781.2 million USD spent on 218 projects
China has diplomatic relations with 8 Pacific island countries: the Cook Islands, Federated States of Micronesia, Fiji, Niue, Papua New Guinea, Samoa, Tonga and Vanuatu, Others recognise Taiwan
In addition to its bilateral aid program and support for regional organisations, China also provides scholarships for Pacific islands students and significant human resources training for government officials
UNSUCCESSFUL
Taking advantage of an imbalance of power
When the Us installed its THAAD anti-missile system in South Korea, China used its economic leverage to retaliate against South Korea through heavy- handed economic sanctions in 2017 but did not give the same sanction against the US
UNSUCCESSFUL
Taking advantage of an imbalance of power
When the Us installed its THAAD anti-missile system in South Korea, China used its economic leverage to retaliate against South Korea through heavy- handed economic sanctions in 2017 but did not give the same sanction against the US
China has the economic power to expand the Navy
By 150 ships in the next 5 years
Expansion of the Chinese Navy has made its neighbours extremely nervous
China wishes to re-establish its historical position in the world and become a modern superpower (US is currently only superpower)
China is likely to fall into the Thucydides trap (the idea that the more military is developed the less secure a state will feel)
As its naval naval power is rapidly growing so is the cost to finance it
In recent years there has been a decrease in absolute poverty from 88% in 1981 to 6.5% in 2012 but increase in relative poverty while the rich have continued to get richer
Chinese economy figures
Chinese economic figures cannot be trusted as the Chinese government is the only source of information
Government is desperate to keep citizens happy so continue to report growth but not clear if their genuinely is any
Major production companies and suppliers lie about production figures, providing the government with better ones out of fear for job and life
China claims it promotes "mutual benefit ... growth, peace and stability"
Will increase China's trade (possibly by $1t US per year)
China hopes that it will expand the Yuan as a global currency
Belt & Road Initiative
Fears of "debt-trap diplomacy" where China increased influence in states who realise after joining the BRI that they cannot afford the terms
Belt and Road Initiative
Fears of "debt-trap diplomacy" where China increased influence in states who realise after joining the BRI that they cannot afford the terms
E.g. Sri Lanka’s Hambantota Port Project – Government kept borrowing money from China to build the port and in return for not paying back China (because they can’t afford it) with a 99 year lease
Discourages other states from joining the BRI
Poverty is mainly in the rural areas (up to 90%) as decades of economic growth have largely eradicated urban poverty
The growing income inequality is illustrated most clearly by the differences in living standards between urban, coastal areas and the rural inland areas
In terms of the share of investments allotted by the state, urban areas were given a larger proportion when compared with rural areas
States that still recognise and trade with Taiwan
Undermine national security as recognise Taiwan as a seperate state
E.g. Sri Lanka’s Hambantota Port Project – Government kept borrowing money from China to build the port and in return for not paying back China (because they can’t afford it) with a 99 year lease