The Chinese are known to formulate timeless pearls of literature. For example, when they want to curse someone, they merely say: “May you live in interesting times!”
But they may actually be, as a nation, readying themselves to live in interesting times. Eleven days from now. As 2021 begins.
For, a number of countries have already come together to tame the Dragon, directly or indirectly.
And they are being pushed against a resurgent China by the United States. Irrespective of change of guards at the White House.
China has reason to be worried with what President-elect Joe Biden’s Administration, which will take office on January 20, 2021, is up to.
Last week, Biden signalled that he will follow Trump’s policy on China and Taiwan. His new National Security Advisor, Jake Sullivan, has called for the intensification of Freedom of Navigation Operations (FONOPs) against China in the South China Sea (SCS), marking a potential escalation of Trump’s policy to thwart Chinese expansionist designs in the region, according to Asia Times.
“We should be devoting more assets and resources to ensuring and reinforcing, and holding up alongside our partners, the freedom of navigation in the South China Sea,” said Sullivan.
Biden’s top advisors have already called for more China-taming freedom of navigation operations and strategic support for Taiwan.
China has long been trying to control the region by launching provocative military and diplomatic offensives in the disputed SCS waters. In the last few years, an expansionist and colonizing Beijing has also gone against several countries in Asia and Africa. Its People’s Liberation Army (PLA) is currently engaged in a military standoff against the Indian Army in the Eastern Ladakh sector where skirmished left many dead in mid-2020 when China tried to change borders.
But the real theatre of power-game in the coming years will be the SCS. American warships are now passing through the 12 nautical mile radius of Beijing-occupied islands and land features across the SCS. The frequency of annual FONOPs has increased.
The US has also decided to support the maritime claims of China’s neighbours in the SCS and stepped up assistance to Taiwan.
The outgoing Trump Administration cleared up to USD 5 billion worth of arms sales to Taiwan this year. To counter Chinese expansionist design, America-led Quadrilateral Dialogue (Quad), including India, Australia and Japan, is emerging as the eastern version of NATO. Besides Japan, Britain, France and India have also started conducting FONOPs operations in the SCS and joint naval exercises.
Also, last week, Trump signed legislation to kick Chinese companies off U.S. stock exchanges unless American regulators can review their financial audits, a move likely to further escalate tensions between the two countries.
Trump’s parting kick could affect China’s corporate giants like Alibaba Group Holding Ltd, and Baidu Inc. Already, Trump has taken strong measures against many a Chinese company, potentially impacting their businesses to the tune of two to three trillion dollars, media reported.
The outgoing US President has for long condemned China’s “unfair trade practices”, and slapped tariffs on billions of dollars in imports. In particular, he dubbed the coronavirus pandemic in 2020 as a “Chinese virus”, something he could not handle properly and which became a major issue against his re-election.
But his last attempt to get many Chinese companies de-listed won bipartisan support in the House of Representatives in December, seven months after the U.S. Senate had cleared it in May. This means that the ‘alien’ Chinese companies will no longer be able to get listed in the US or draw dollars as capital for their growth.
Reacting to this law, China’s Foreign Ministry spokeswoman Hua Chunying claimed that “It will undermine global investors’ confidence in the U.S. capital markets, its global standing, and hurt U.S. interests.”
Trump’s new law capped steps against China, including limiting travel visas for 92 million Communist Party members. Their 10-year visas would now be reduced to one month.