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Blogs » Politics » Chinese apologize to Tibetans


Chinese apologize to Tibetans

Posted: 28 Jan 2013 09:18 PM PST

A Facebook Page: Chinese Apologize to Tibetans has been set up by activists to collect information about the human right situation in Tibet.

Written by Oiwan Lam · comments (0)
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Cross-Talk, A Ming Dynasty-Era Art Form, Returns From the Brink — And Goes International

Posted: 28 Jan 2013 09:32 PM PST

Guo Degang (left) performs for the 15th anniversary of De Yun. (YC Gong/Flickr)

"As a Chinese citizen…I hereby officially announce that the Australian branch of the De Yun society has been established. The first overseas De Yun will be founded in Melbourne."

This post on Sina Weibo, China's Twitter, came from Guo Degang (@郭德纲), a cross-talk performer who shot to fame around 2005, courtesy of China's Internet. The post quickly went viral, gaining over 4,000 "Likes," 20,000 reposts, and almost 15,000 comments since Guo shared it on January 23.

Most comments showed support for cross-talk's globalization. As @崔德轶-何处染尘 joked: "Old Guo is going colonial! Bad-ass!" User @胡文崧 encouraged Guo to "spread cross talk across the world!"

A brief history

Chinese cross-talk is an art form that requires of both its performers and its audience a profound understanding of the Chinese language. Usually consisting of a rapid-fire dialogue between two performers, cross-talk liberally exploits the Chinese language's propensity for homonyms to create rich puns and allusions. The cross-talks usually touch on Chinese daily life, with a dash of social commentary.

Starting with the Ming dynasty, cross-talk began to grow as comedic performances on streets and in teahouses. However, after the establishment of the People's Republic of China in 1949, and especially after 1960s, the content of cross-talk dialogue has tended to focus on praising the ruling Communist Party. In the 1980s, as cross-talk became a part of state television programming, the medium was further stripped of its grassroots elements, with ribald jokes and ethnic humor leached out in order to make the programs family friendly.

For many years, cross-talk was a regular feature of China Central Television's Chinese New Year's Gala, an slickly-produced annual program on the eve of Chinese Lunar New Year watched by more people than the Super Bowl. But cross-talk's television fortunes declined at the start of the new millennium, as young performers failed to pick up the proverbial baton and audiences grew weary of seeing the same old faces appear again and again, with the same styles and the same jokes. Young audiences reared in the Internet age found the performances boring and didactic. The art form became bureaucratized in the form of the Chinese Ballad Singers Association.

A new renaissance

But this gloom is now beginning to lift. Guo Degang founded the De Yun society in 1996 with the goal of "returning cross-talk to theaters." The group, now the most famous cross-talk performance group in China, is seen as a savior of sorts for the endangered art form. Guo's old-fashioned strategy, it turned out, was perfect for the Internet age. Guo and his colleagues perform in teahouses, tickets are cheap, and audience members can record the shows and put them online without paying copyright fees. Gradually, Guo and De Yun rose to fame.

With his image as a rebel against traditional hierarchy and the Chinese governmental system, Guo's popularity has ranged far and wide. A search for his name on Youtube — which is blocked in China — calls forth about 20,400 results, and Guo's top video on that platform has been viewed over  200,000 views. On China's version of Youtube, Youku, Guo's most popular video has been viewed over 9 million times.

The profusion of overseas Chinese fans is one reason that this distinctly Chinese art form can find an audience abroad. In October 2011, Guo lead a De Yun cross-talk performance in Australia, the first commercial performance outside of China in the history of the art form. Since then, De Yun has performed in Canada, New Zealand, and the U.S. cities of  Los Angeles, San Francisco, Boston, and New York.

Cross-talkers at cross -purposes

Guo's rise, however, was not without controversy. In his early work, Guo stood almost opposite the mainstream, with sharp and sometimes biting comments. In an online video of a 2005 performance — perhaps his most radical — Guo said, "Should cross-talk be used as educational material; should it be used for propaganda? This is a huge mistake, one that kills the human spirit."

Guo's performances have caused heated debate and attracted criticism from some well-known performers with ties to the Chinese government. Jiang Kun, a famous cross-talk performer who now serves as  president of of the Chinese Ballad Singers Association and is a member of the National Committee of the Chinese People's Political Consultative Conference, critized  Guo as "vulgar" after Guo performed traditional cross talk, replete with dirty jokes and ethnic humor. Guo responded that so-called "mainstream" cross-talk performers betray its traditional roots.  In a 2011, after his successful first foray into Australia, Guo appeared to be thinking of Jiang when he wrote:

I've just returned from Australia to Beijing after a complete success. Some 'eunuch-artists' have acted hysterically to stir public sentiment. But I sigh for you, I feel sympathy for you. Over many years, you've tried to elbow me out, but I've maneuvered around you…the rule of cross-talk is to pick on someone your own size, don't you know that? Come here, I will teach you how to cross talk! And you can teach me ethics — or dirty tricks.

Guo goes mainstream

Gradually, doubtless propelled in part by his Internet fame, Guo is going mainstream. Guo used to joke about being invited to present at China's Spring Festival Gala television show; this year, he will be a presenter. He's even joined the Communist party's political consultative conference, a governmental advisory body comprised of well known private citizens.

Guo's easing into China's mainstream is a victory, of sorts, for the Chinese grassroots. Some Weibo users seem at peace with Guo's new role as mainstream spokesperson for the masses. As @LuckyShow2012 wrote: "Old Guo is not bad; better than some state-owned enterprises which invested abroad. You are earning overseas money, while they are giving away money overseas." 

Eastern Promise in Guangzhou’s Little Africa

Posted: 28 Jan 2013 07:47 PM PST

While China's presence in Africa attracts ever more attention, Kit Gillet explores the other side of the coin in Guangzhou's "Little Africa":

"When it comes to Africa, the US and Europe think about aid, whereas the Chinese think about . They have a very organised vision of what they want," says Deborah Brautigam, author of The Dragon's Gift: The Real Story of China in Africa, from Washington, DC.

"Over the last five or six years there has been a huge increase in engagement between China and Africa across all fronts: trade, loans, finance, ."

Nowhere is this more evident than in Little Africa where, in among the city's wholesale textile markets and electronics stores, black faces are almost as numerous as Asian. English is the common language of trade, though you can also hear French, Igbo (an ethnic language of ) and Cantonese.

There are at least 20,000 Africans, mostly from West African nations such as Nigeria, and , living legally in , a city of about 12 million. The number could be as high as 150,000 if you include the many illegals and those temporarily in the city chasing business opportunities.

See also Brautigam's comments on the article and more on Africans in China via CDT.


© Samuel Wade for China Digital Times (CDT), 2013. | Permalink | No comment | Add to del.icio.us
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In New Macau, Triads Keep the Peace

Posted: 28 Jan 2013 07:36 PM PST

Benjamin Carlson recaps how the Chinese government reeled in the triad gangs and cleaned up post-colonial Macau, where one former criminal leader emerged from recently to find "a city utterly transformed." From Foreign Policy:

In the years leading up to 's handover to China, triad violence surged as gangs vied for a bigger share of the pie that would be left after Portuguese power receded. The high point was 1999, the year of the handover, when 42 people died in gang-related attacks. Broken Tooth's triad torched cars and was believed to have killed a Portuguese official near the Casino Lisboa. At Wan's disco, Heavy Club, a mannequin dressed in a police uniform reportedly dangled from a noose tied to the ceiling.

Under Portugal, a somewhat reluctant colonial power, the city had a sleepy air and a sluggish economy to match: a combination of triad violence and the Asian financial crisis caused Macau's gross domestic product to contract by 6.8 percent in 1998. Portugal repeatedly tried to return Macau to China as part of its 1970s decolonization push, but Beijing refused to retake sovereignty until 1999. At the time of the handover, textile manufacturing dominated Macau's economy, and the relatively small casino industry was controlled entirely by Stanley Ho. Seen in Macau as a sort of roguish, eccentric patriarch — part Howard Hughes, part Donald Trump — Ho allegedly earned the money to start his first business as a reward for single-handedly defeating pirates who attacked an employer's ship during World War II.

Nowhere is the contrast between then and now more apparent than in the Lisboa, Ho's landmark property and one of the city's oldest and most iconic casinos. It was also Broken Tooth's old haunt. Wan allegedly had a $50 million stake in a VIP room at the Casino Lisboa and was arrested in a suite at its hotel back in 1998. Then, the casino — a tacky structure resembling a multicolored onion — was guarded by a battalion of cops wielding automatic weapons. Today, the automatic weapons are gone, the casino has expanded with an enormous, glitzy addition shaped like a golden lotus flower, and the lobby is filled with tourists elbowing each other to pose in front of a life-sized gingerbread house. (The seamier side remains: A basement hallway below the Lisboa has a parade of prostitutes perpetually cat-walking between a restaurant and a fruit stand.)

 


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Photo: Rainy Night, by Svend Erik Hansen

Posted: 28 Jan 2013 07:28 PM PST

Clearing the China Air: Technology and Protectionism

Posted: 28 Jan 2013 06:43 PM PST

My posts have been few and far between these days for a variety of reasons (other commitments, paucity of real news, smog-induced crushing depression), but today's weather requires some words in response, and thinking about smog has led me back to familiar themes about technology transfer, local protection and industrial policy.

If you're picking up my RSS directly or reading this at the China Hearsay home page, you'll see the pic I included, which is the view from my living room window.

The air quality this month has lurched past "Blade Runner" and gone straight to . . . well, I don't even have a good popular culture allusion to what we're experiencing now. Historically, I wonder if we're getting on towards a London Great Smog situation, which happened back in '52.

But I actually didn't want to simply bitch and moan about the weather, which by the way my forecast describes as "Fog."

More interesting, or at least optimistic, is the story of what will happen when all of this gets cleaned up. As a native of Los Angeles who grew up in the smoggy '70s, I know that these things can get better through government action. I sincerely believe that the Chinese government will fix all this, although I'm not sure exactly how or when. Officially, China has been working on environmental solutions for many years, but we're not yet seeing the fruits of those labors.

I do know, however, that the best way to do so in the near term will involve some measure of foreign technology, and this presents a problem for China's industrial policy. (Yes, we're back to that.)

Consider an article, attributed to Bloomberg, that I grabbed off the Shanghai Daily RSS feed. They helpfully entitled it "Foreign automakers may profit from smog." Here's the thesis:

[F]oreign carmakers in the world's biggest auto market are poised to profit from this month's record-breaking pollution. With toxic smog engulfing Beijing and much of the rest of the country for weeks now, China is considering tighter vehicle curbs and emissions standards that match Europe's.

That could benefit General Motors Co, Volkswagen AG, and Hyundai Motor Co in a market where sales are forecast to top 20 million units this year, according to industry researcher Intelligence Automotive Asia. The new rules are likely to spur many drivers to buy new cars, and unlike most domestic automakers, overseas companies can produce vehicles that comply with stricter global standards for emissions.

Now let's expand that out to a wide variety of clean technologies, and the point still holds true: foreign manufacturers and owners of intellectual property are dominant. If China wishes to clean things up here, the first few years at least will involve foreign technology.

Yes, there are other options. China could, for example, utilize its much-publicized compulsory licensing rules to force some foreign IP owners to share cleantech with local manufacturers. However, I'm not losing too much sleep over this possibility. The law probably allows for this draconian measure, given an environmental emergency, but I don't see China making a move that would serve to give up much of the ground it has taken in recent years in the IP PR war.

No, China will continue with the policy it has been implementing for a long time now when it comes to cleantech: inward technology transfer. And that brings us back to the Shanghai Daily/Bloomberg article. This policy just isn't all that favorable to domestic firms.

So will we see increased local protectionism as more money is doled out to environmental projects?

I think that's a real possibility, and it shouldn't surprise anyone. We're talking about significant public expenditures, and folks never like to see such funds being spent on foreign firms. I recall back in the days following the 2008 Great Recession, when Washington actually appropriated a small amount of money for infrastructure and other public projects, that there was significant criticism over government expenditures going to foreign contractors. Keep in mind that the U.S. doesn't even really have an industrial policy.

If local protectionism rears its ugly head, what will it look like? There are a lot of ways this can happen. For example, while we might not see compulsory licensing, I wouldn't be shocked to see certain valuable foreign cleantech IP experience trouble when it comes to specific instances of enforcement against infringers, particularly in secondary or tertiary cities. We might also see provincial/local governments get more aggressive when it comes to approval of foreign investment projects in related industries, perhaps informally pushing for additional tech transfer.

At the State level, Beijing might revisit incentive programs somewhere down the line. The complaints over the indigenous innovation program have finally died down, after Beijing walked back the more troublesome IP transfer requirements, but there are still a variety of programs out there in the cleantech sphere (e.g., tax incentives). New programs or protectionist enforcement patterns are both possibilities.

All of my technology transfer clients get the usual speech from me about protection of IP. The ones in the cleantech sector, however, get a souped-up, aggressive and slightly paranoid version of those cautionary comments. Themes stressed include IP registrations, partner due diligence, strong contract language, ongoing market investigations, and (as always) a reliance on non-legal, practical ways of protecting IP/technology.

Now more than ever. Just look up at the sky, and you'll see why.


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Tibetans Outraged by Chinese TV Drama on Tibet

Posted: 28 Jan 2013 04:50 PM PST

In China, a recently screened TV drama, Tibet's Secret (西藏秘密), caused outrage amongst many Tibetans, critical of the director, Liu Depin, for what they perceive as a distortion of Tibetan culture and religion. Since the drama was broadcast on the state-run China Central Television (CCTV), in early January 2013 via CCTV channel 8 in prime time 7:00pm, the controversy has intensified, and somewhat inevitably, begun to turn political in nature.

The main character in Tibet's Secret, a 46 episode drama, is Tashi, a Tibetan Lama who speaks on behalf of the Tibetan people about the history of Tibet during the period between the 1930-40s, a time before the Chinese Communist Party liberated Tibet. The character of Tashi was himself involved in the overthrow of the rural slavery system in Tibet during that period.

Screen capture from Tibet Secret via Youtube.

While Tibet is an extremely sensitive topic and heavily censored in both online and offline media outlets in China, the CCTV's drama is an important source for Han Chinese to understand the Tibetan history, culture and religion. Indeed, commentaries from entertainment pages in various media outlets have routinely stressed the the drama is an honest representation [zh] of the Tibetan culture and history and that it has won the recognition of Tibetan scholars. Yet, to many Tibetans, the drama is a highly distorted source of insight.

For example @泽仁多真 criticizes [zh]:

从《西藏秘密》这部片子中,会看的人会看出导演对西藏民族文化的无知,和对西藏历史的严重亵渎,其结果就是制造了一部看了让人反胃的电视剧。 对于这种烂片,根本不值得为它浪费口舌。

From the Tibet's Secret Drama, for those who know about Tibet, they would see that the director is ignorant about Tibetan culture and has defamed the Tibetan history. The drama is obnoxious and we should not waste our time and energy on it.

Tsewang Thar believes [zh] that the drama will harm the relations between Han Chinese and Tibetan:

刘德濒,对于西藏你本身没有很深的了解,对于藏族你更没有太大的热爱,对藏文化你却一无所知,西藏秘密从何而来?你的这部电视剧简直是丑化西藏,侮辱藏族,蔑视藏文化的一部烂剧。你是破坏汉藏关系,破坏社会稳定的罪魁祸首!

Liu Depin, you don't have deep understanding of Tibet, you don't love Tibetan and you are ignorant about Tibet culture. What do you know about Tibet's secret? This TV drama is to ridicule Tibet, insult Tibetan and debase Tibetan culture. You are responsible for the destruction of the relation between Han and Tibetan and the stability of the society.

A lengthy article written by a Han Chinese woman has been widely circulated [zh] online, also criticizing the director:

今天我實在是忍不住要發聲,因為我看到劉德瀕導演對於藏族朋友指出電視劇中錯誤和曲解置著罔聞,甚至給藏人扣上「分裂祖國的跳梁小丑們」的帽子,更甚者還要出書,還要拍第二部 […] 我哭了,不知道是因為覺得自己無能為力而悲哀,還是為這個時代悲哀,為看到這部劇而讚精彩的漢族人悲哀 […] 劉德瀕導演所說的分裂祖國的跳梁小丑,其實分裂祖國的並不是提意見的藏族人,而恰恰是不懂得尊重,惹惱藏族人的劉導。

I can't help from voicing out today. Liu Depin is playing dumb to Tibetan friends' criticisms on all the distortion in the drama. He even labelled them as "clowns who acted stupid to separate the country" and said he would write a book based on the drama and shoot the second series. […] I cried. Not sure if the tears is shed for my being helpless, or for the time that we live in or for those Han Chinese who keep praising the drama […]. Director Liu Depin accused people of being clowns who intend to separate the country, the true separatists are not the Tibetans who criticize the drama, but are the people who have no idea about respect and stirred up anger among Tibetans.

While the director has claimed that he will begin shooting a second series, many netizens have begun spelling out their opposition. @康巴潮人 invites other micro-bloggers [zh] to join the effort in the campaign against the production of a second series:

这部电视剧(西藏秘密) 自从播出后,在藏族文化圈的人分分议论,说这部电视剧不仅是违背历史,不尊重事实,故意丑化藏人和诽谤藏传佛教,真不知这位@刘德濒 导演用意何在,难道他比西藏人还了解西藏历史吗?希望多点尊重事实,尊重宗教,注重民族团结!尊重我们藏族的信仰,反对播出!见者转发!

Soon after the TV drama, Tibet's Secret, was aired, it has become a hot topic among Tibetans, many saying that it is against historical fact and with an intention to defame the Tibetans and their religion. I don't know why director @Liu Depin will produce the drama, does he know more Tibetan history than the Tibetans? Please respect fact, religion and ethnic unity. Respect Tibetan belief and stop airing the drama! please forward this message!

To defend himself against criticism, the director posted a page from a book called "Tibet encounter" (西藏奇遇) and claimed that he referenced the book, which is a 1986 translated version of "Seven Years in Tibet", the English version of "Sieben Jahre in Tibet" written by Heinrich Harrer. Prominent Tibetan writer Woser decided to cross-check the book page with the original text in Germany and found out that the so-called Chinese translation is a distorted re-writing of the original text:

我正好有朋友在德国,是专攻语言的高手。朋友一听兴致勃勃,立即找到哈勒德文原著,细细一对照,惊诧得几欲拍案而起:"偶滴神啊,土共枪手太不要脸了,竟把'遗物'全译成了'粪便'!"

Co-incidentally, I have a friend in Germany who is a language expert. He is very interested to help out. He found the original text written by Heinrich Harrer and cross checked with the Chinese version. He was so astonished and yelled out: "My god! the CCP writer is shameless. The word 'relics' has been translated into 'feces'.

In the Chinese text that Liu read, it said:

几乎所有的阔家富户都珍藏着这种'灵丹妙药',他们常常向我展示用丝带缝起来的被视作至宝的十三世达赖的粪便。

Almost every wealthy household in Tibet are in possession of a sacred medicine, they showed me the feces of Dalai Lama 13, preciously sewn in silk bags".

However, the original text in Germany is: Fast jeder Adelige zeigte mir stolz Reliquien vom 13. Dalai Lama, sorgfältig in kleine Seidensäckchen eingenäht, meaning "Almost every noble proudly showed me relics of Dalai Lama 13, carefully sewn in small silk bags".

In fact there are many distortions in the translation of "Tibet Encounter" and Liu Depin's "Tibet's Secret" is just a further distortion of an already distorted truth.

Written by Oiwan Lam · comments (1)
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Netizen Voices: Xi Jinping’s Macho Dream

Posted: 28 Jan 2013 04:20 PM PST

Is the "emperor" of China man enough to defend the Communist Party at all costs? (@badiucao)

Any hope that Xi Jinping would prove himself a reformer has been dashed by a leaked internal speech from December in which he asserts the fell because none among its leadership "was man enough to stand up and resist" the uprisings of the late 1980s. In her analysis for Deutsche Welle Chinese, translated by Yaxue Cao, connects Xi's criticism of and 's 2004 denunciation of the Soviet Union's last leader as "the chief culprit of Eastern Europe's transformation and a traitor of socialism." Xi insists that the regime "stand firm on the Party's leadership over the military" lest it succumb to the fate of the old Eastern Bloc. Xi's remarks recall the cold calculation China's leadership made made during the Tiananmen Square protests in 1989.

Netizens react on Weibo:

@MrSodapop: Brother Tao's enhanced version.

@可乐泡饭先生:涛哥加强版。

@majinwei: He's hinting that he's the "man enough" one.

@不再管闲事:他是暗示,他就是那个男儿。

@wuyuerugou: Fine then, he's hopeless.

@深色错觉:好吧,对他不抱希望

@dustinthewind: This proves the Russians are rational enough to distinguish love of country from love of party.

@风里逐尘:证明俄罗斯人还是理智的,分得清爱国和爱党的区别

@mylifeperfect: Xi is using his fight against corruption to win us over and pave the way for his authoritarian regime. If you're dreaming that he'll implement constitutional government, dream on.

@沈勇平:习想建立一个威权政府,以反腐收揽人心。想幻想其行宪政,绝无可能。

@SunShudong: Don't forget the words of our nation's founder: "In the mighty tide of global change, those who swim with the current prosper; those who fight it perish."

@孙蜀东:别忘了国父遗训:"世界潮流浩浩荡荡,顺之者昌逆之者亡"。。。。

Via CDT Chinese.


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Hexie Farm (蟹农场): The New Clothes of Reform

Posted: 28 Jan 2013 02:32 PM PST

For the latest installment in his CDT series, cartoonist Crazy Crab of Hexie Farm revisits the fairy tale of the Emperor's New Clothes to comment on a recent speech by Xi Jinping, in which he blasts for overseeing the dissolution of the Soviet Communist Party. This speech, which was only released internally to Party cadres, throws cold water on hopes that Xi's incoming administration will permit or even encourage reforms to China's political system. In this cartoon, , like the emperor from the fable, is surrounded by supporters admiring his fancy new robes of , which don't exist.

The New Clothes of Reform, by Crazy Crab of for CDT:

Of course, the concept of "naked officials" has another meaning to Chinese netizens as well.

Read more about Hexie Farm's CDT series, including a Q&A with the anonymous cartoonist, and see all cartoons so far in the series.

[CDT owns the copyright for all cartoons in the  CDT series. Please do not reproduce without receiving prior permission from CDT.]


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Why China Hands Think What They Think

Posted: 28 Jan 2013 09:23 AM PST

My First Trip to China. Kin-Ming Liu. http://www.musemag.hk/musestore/product.php?id=60

These days, China books are a dime a dozen and so, too, are China analysts. Journalists, scholars, businesspeople, general foreign policy analysts, and random people living in Beijing all have something to say. To stand out, you have to bring something unique to the table—a new finding, a new framing, or, unfortunately, too often, just a willingness to say something controversial.

A new book, My First Trip to China, edited by Hong Kong-based journalist Kin-ming Liu, manages to be exceptional in a few respects. At one level, it is a great coffee table book—no pictures, but some truly fascinating reminiscences of first trips to China by a range of great scholars, as well as officials, businesspeople, activists, and journalists. The time span covering the authors' first visits is vast—with the first trip recorded in 1942 and the last in 1986. Through the eyes of people such as Andrew Nathan, Jonathan Mirsky, Lois Snow, Sidney Rittenberg, Jerome Cohen, Steven Mosher, and others, the small details of modern—but not too modern—China come alive. The vast majority of stories are quite engaging and, since many of the authors write for a living, quite well-written as well.

At a deeper level, however, what makes this book so valuable is the entry it provides into understanding how some of the most important thinkers and actors in U.S.-China relations have had their perspectives shaped by their first trip to China. To a one, the authors approached their first trips to China with openness and excitement. Almost immediately, however, differences in outlook emerged. Ed Friedman and Jonathan Mirsky, who traveled as members of delegations and were shown a Potemkin world of China, became skeptics; their writings today reflect a continued skepticism of official Chinese proclamations. (No doubt the fact that Chinese officials locked Mirsky in his hotel room did little to endear official China to him.)

There is a special section devoted to first visits to China by Chinese expatriates, such as businessman David Tang, scholar Steve Tsang, and journalist Frank Ching that is quite moving. Each felt a sense of "going home," although by the end of their first visits, their perspectives were radically different: Steve Tsang, for example, developed a stronger "Hong Kong" identity, while David Tang embraced the mainland as his motherland.

Still others, such as Steven Mosher and Lois Snow, had their views of China upended by a singular experience: for Mosher, it was bearing eyewitness to a forced abortion campaign; for Snow, it was Tiananmen and the heartbreaking case of Ding Zilin, a Tiananmen mother who lost her son. And of course, no "first visit to China" book could be complete without the story of Sidney Rittenberg, whose chance meeting with a group of children changed his life and made his story one of the great personal dramas of U.S.-China relations.

One of my favorite stories is that of my friend and colleague Jerome Cohen, who despite encountering numerous annoyances during his trip—such as having his hotel room bugged—manages to weave together the beauty, darkness, and absurdity of the country and its politics in one thoughtful and humorous account.

If I have one bone to pick with Kin-ming's story selection, it is that there are so few stories written by women—only two-and-a-half (since one is a husband and wife recounting) out of thirty. I would, for example, have loved to hear from Jan Berris, who was involved in the 1972 ping-pong diplomacy and has been engaged in U.S.-China diplomacy through her work as the vice president of the National Committee on U.S.-China Relations ever since. However, this really is my one criticism of an otherwise wonderful book that manages to be a great read for the China novice, the China expert, and everyone in between.

Hard Labor Lessons From China’s First South American Mine

Posted: 27 Jan 2013 07:52 PM PST

(Joao-Schmidt/Flickr)

Marcona is a small town located on the south-west shore of Peru. There sits the only operating iron mine in Peru, and one of China's earliest overseas mining projects. Around 20 Chinese managers live there, running a mine that employs most of the town's population. Although the Chinese staff here eat in their own separate dining room, when I visited the Marcona office of Shougang Hierro Peru, the Chinese seemed to get along well with their Peruvian colleagues. But appearances can be deceiving — in fact, this mining company has had a tortured relationship with its workers, not to mention the Peruvian Ministry of Labor.

"We have to sue [the Ministry]. Law is our last weapon to protect ourselves against the illegal actions of the Ministry of Labor," said Aimin Kong, General Manager of Shougang Hierro Peru, in an interview with Tea Leaf Nation in his Lima office.

The history of a troubled company

In 1992, even before China officially launched its "Going Out" strategy to engage in outbound foreign direct investment, one of China's largest state-owned steel companies, Shougang (首钢), completed one of the first overseas acquisitions by a Chinese company when it bought the poorly-run Marcona Iron Mining from the Peruvian government and made it the first Chinese mining project in South America. Shougang turned Marcona's mine into a profitable business, but has done so amidst 20 years of continuous labor conflicts with its workers' union, making it one of the most notorious mining companies in Peru.

"Shougang is famous for poor labor rights and working conditions. As far as I know, it is the only mining company in Peru that has failed to reach agreement with its union for decade. The gap between the company's offer and the union's demand is huge," Paskal Vandenbussche, a consultant in the conflict resolution office of the Ministry of Labor, told Tea Leaf Nation.

According to Vandenbussche, any agreement about wage and working conditions must be negotiated and agreed upon between a company and its union. But Shougang has refused to negotiate with its union in most of the conditions that the latter has raised — like working conditions — and stood firm on the few conditions that it is willing to talk about, mostly basic wages.

The cost of conflict

The failure, or unwillingness, to negotiate has a price. According to a recent comparative study by Tufts University, Shougang's conditions are acceptable when compared to its Peruvian peers. However, Shougang suffers an unusually high number of strikes, costing the company approximately half a million U.S. dollars for every day that a legal strike shuts down production. Some years, the number of strike days at Shougang exceeds 40.

Shougang's offices in Marcona, Peru. (Hongxiang Huang/Tea Leaf Nation)

"I do not understand why Shougang has such an attitude against its union. It seems to be much cheaper if they satisfy the union's demands" for benefits unrelated to wages, said Amos Irwin, the American researcher who conducted the Tufts study.

Shougang professes to be frustrated with its status quo. Kong insists, "It is not we who do not want to negotiate. It is the union who does not want to negotiate." He and most of the Chinese managers in Shougang have privately portrayed union leaders as "ungrateful" and "using endless fights to score political points" on Shougang's dime. In their eyes, because the union is never satisfied and has asked for impossible concessions, there can be no real agreement.

Kong recalled one recent Saturday evening negotiating session, which appeared to end with agreement between the union and the company. Kong says he was so tired afterward that he wanted to head home, but at midnight, union representatives returned to ask for more conditions. "I was very angry — we had already finished our negotiation, hadn't we?" Kong said.

According to Irwin's research, Shougang tried its best to satisfy its union until 1996, when the company realized it was more beneficial to say no. Sources within Shougang who have asked to remain anonymous say that the change since 1996 reflects a natural learning process: when Shougang realized the union would never be satisfied, management determined that the Peruvian people have a different mindset and work ethic than Chinese, and began a policy of intransigence in the face of union demands.

The blame game

"This problem should be blamed on our strong union and on the Peruvian social system. In the foreseeable future, I do not see any solution to our problem. Shougang is still going to suffer many strikes and the costs will be shared between the company and its workers," said a high- ranking Shougang manager who was not willing to disclose his name.

Kong also blames Peruvian authorities for failing to establish clear regulations to provide a baseline against which both Shougang and union proposals can be judged. "If the Ministry of Labor sets up clear standards about wage increases and so on, we would be happy to follow," he said.

But the Ministry of Labor is not willing to set the wage bar, and it believes it lacks the right to do so. Vandenbussche argues, "This is not government's role. We believe such a negotiation should be conducted between the company and its union." Vandenbussche said he believes the back and forth of negotiation is common, and that Shougang, as a foreign company, has to learn and adapt.

But the Ministry of Labor has been adjusting as well as it strives to deal with entrenched and long-lasting problems such as Shougang's. In the past, following failed private negotiations, the government could only try to intervene on issues like basic wages and wage increases, not working conditions or other detailed union demands. However, since 2011, the Ministry of Labor has been trying to impose more powerful regulations on big companies like Shougang, giving the Ministry the ability to force arbitration if it determines a party is not negotiating in good faith.

The new regulation was issued in the midst of yet another Shougang-union conflict. The company triggered the statute, and Shougang had to face its first arbitration last year. However, Shougang filed suit against the Ministry of Labor, protesting the new law. The result of the forced arbitration is thus in limbo, pending resolution of Shougang's suit. According to the Ministry of Labor, sending unfavorable outcomes into legal limbo has been Shougang's onging strategy.

Chinese investment in Peru is expected to reach US$10 billion in the coming five years. Mining will be the focus of that investment, and it will include Shougang's new expansion, projected to cost around US$1.2 billion, according to the Peruvian Times. As Chinese mining investment floods into Peru, Aimin Kong argues that Shougang has become a model for Chinese companies. Chinese-owned Chinalco, which just started project in Peru, seems to have learned from its forerunner's troubles — it hires mostly Peruvian and international managers. Before any mining operation, Chinalco invests around US$300 million to build living and waste water treatment facilities, and its relationship with the Ministry of Mining is good. Perhaps the future for Chinese mining in Peru will be a more positive one, but Shougang will continue to serve less as a model, and more as a cautionary tale.

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