Xi’s Tough Talk
U.S.-based independent Chinese commentator Cai Shengkun stated on NTD’s Chinese-language program “Pinnacle View” that usually, information from such closed-door meetings is heavily restricted for foreign participants, especially concerning private discussions between these business leaders and Chinese officials or any requests made or agreed upon by the Chinese side.However, this time, it is likely that the U.S. delegation did not gain any advantages or assurances from Xi. Therefore, upon their return, we saw some general information about Xi’s remarks at the meeting being disseminated through various channels, with different interpretations from different sources.
“What exactly Xi Jinping talked about is something we do not know since the Chinese Communist Party (CCP) does not disclose such information,” said Mr. Cai. “The participants of the meeting were also quite cautious and did not reveal the specific details of what Xi Jinping said. However, I feel that many indicators are suggesting that Xi Jinping himself might be confused, let alone these foreign corporate executives.”
He explained that China’s so-called economic prosperity over the past few decades was fueled by the greed of Wall Street and some tech giants in Silicon Valley. To a large extent, they have been accomplices of the authoritarian regime of the CCP, and they have enjoyed super-national treatment in China for years, making significant profits. However, one should understand that the path China took in the past is fundamentally unsustainable.
Though multinational corporations have reaped enormous benefits in China, their home countries have paid a heavy price, essentially shifting their manufacturing industries to China. Even now, amid China’s economic downturn, the regime still claims that its manufacturing accounts for one-third of the world’s total.
“In this context, Xi’s closed-door speech was highly anticipated by the outside world,” said Mr. Cai. “From what we have seen of Xi Jinping’s remarks, my immediate impression is [he’s saying,] ‘If you want to continue making money with us, then you must respect us and play along nicely. Don’t interfere in our internal affairs. If you disrespect us and want to break away from us, nuclear war will destroy humanity, and I don’t want to go down that path.’ So I believe these words must have scared those profit-driven [American] business executives.”
The So-Called ‘New Productive Forces’
Guo Jun, editor-in-chief of The Epoch Times’ Hong Kong edition, said on the “Pinnacle View” that Xi has recently proposed a concept of “new productive forces,” which roughly means using the tech and innovation industries to provide new momentum for the Chinese economy. Innovation industries have had a significant impact on both the Chinese and American economies over the past ten or 20 years, with China mainly copying the American model.She explained that the American model essentially comprises Silicon Valley plus Wall Street, with high tech, capital, and marketization. These three elements are crucial for the United States. Currently, America’s policy is to completely block high-tech exports to China. Not only American companies but also companies from other Western countries must follow suit. So now, the United States, the European Union, and other allies have allied to confront the CCP.
“These business executives going to China are just trying to reassess the current level of risk, and the conclusion they reached after going there is that the prospects are not good,” Ms. Guo said. “Therefore, the news disseminated [by the business executives] may be a significant blow to Beijing’s so-called new productive forces.”
She mentioned that Stephen Roach, the Morgan Stanley Asia chairman, has long had a good business relationship with China and has always been optimistic about it. He also attended this forum in Beijing, and after returning, he was interviewed by Radio Free Asia and specifically mentioned the Hong Kong issue. He said that he originally wanted to discuss the Hong Kong issue during his visit to Beijing but was strongly discouraged from doing so. According to Mr. Roach, when he first attended this forum in 2001, everyone could freely express themselves. So, he is implying that Beijing no longer wants to hear any critical opinions.
China’s Geopolitical Challenges
Chinese independent TV producer Li Jun said on “Pinnacle View” that Xi’s communication with American business leaders was tough talk in every aspect. When it comes to Taiwan, he emphasized that this is a red line that must not be crossed, speaking relatively heavily. In such a situation, I think the psychological pressure on American businessmen is relatively high.“When I saw Radio Free Asia’s interview with Douglas H. Paal (a senior researcher at an American think tank who attended the meeting), he actually thought that the Taiwan issue is not the most difficult point for American investment [in China] now because, after Lai Ching-te’s successful election, his policies are relatively clear, following Tsai Ing-wen without changing the status quo,” said Mr. Li. “Paal believes that there are three geopolitical crises that have a significant impact on American companies, which is North Korea, the South China Sea, and Taiwan. In particular, China’s behavior in the South China Sea is quite aggressive, and currently, North Korea is somewhat out of control, meaning neither China nor Russia can control it. Therefore, in terms of geopolitical crises, the business leaders have greater concerns, which will affect their investment in China.”
Senior editor and chief writer of the Chinese edition of The Epoch Times, Shi Shan, expressed on the show that nearly all the high-risk geopolitical regions revolve around China, including Russia, Central Asian countries, and India, which is China’s adversary. If China’s economy continues to decline, or if the CCP’s control over China weakens, then there will be other problems, including in Xinjiang, Tibet, etc.
“So these American business leaders probably have to consider the challenges comprehensively,” he said. “I think they might be very nervous about the Taiwan issue because there is a possibility of a clash at any time.”
