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Thursday, December 1, 2011

US Challenged Myanmar and Arm Upgrade Australia: China – condemn

US Secretary Hillary Rodham Clinton visited Myanmar on Wednesday, China and the ASEAN neighbors were watching closely.

The trip to the usually closed-off nation, the first by a U.S. secretary of state in more than half a century, boosted suspicions in China that the United States is pursuing a strategy of encirclement to blunt China's rise.

An editorial in the English-language edition of the Global Times, a Chinese state-controlled tabloid with nationalist leanings, said Clinton's appearance in Myanmar "raised speculations that the U.S. is trying to win the former British colony over from China, since it appears that China's neighboring countries have become increasingly pro-U.S."

That worry is sharper in conservative circles than it is among other Chinese observers. But the questions about the purpose of Clinton's visit are being asked by a wide range of China foreign-policy observers.

"We are quite uncertain what kind of role the U.S. is going to play in Myanmar," said Zhu Feng, an international relations expert at Peking University. "Myanmar will be a test for American policy toward China."

Will the Americans push for reform in Myanmar, a development that China probably wouldn't oppose if such advances were controlled and measured? Or is the U.S. looking to use the nation on China's southern border as a counterweight to Beijing? Perhaps a bit of both?

The concerns underline the complexity of relations between the United States and China. On one hand are economic ties that include more than $457 billion in trade last year and China's holding of more than $1.1 trillion in American Treasury debt.

On the other hand, China's growing might has made the United States and much of the West nervous about Beijing's own long-range plans.

When President Barack Obama said Nov. 18 that Clinton would visit Myanmar, formerly known as Burma, he emphasized "flickers of progress" by President Thein Sein and American desires to "empower a positive transition." He said he'd received support for U.S. engagement from Myanmar's most famous democracy activist, Aung San Suu Kyi.

A senior Obama administration official said later that day, speaking anonymously as a condition of the briefing, that "it's about Burma, not about China."

But the backdrop of Obama's announcement suggested that China and its clout in the region were very much on the minds of those in his administration.

Obama announced Clinton's trip while he was attending a summit in Bali, Indonesia, where American officials pushed for an open discussion of China's ongoing territorial disputes with neighbors in the South China Sea. It was a conversation, with Obama and Chinese Premier Wen Jiabao in the room, that China had very much wanted to avoid.

A day earlier, Obama had told the Australian Parliament that the United States had made a "deliberate and strategic decision, as a Pacific nation" to take "a larger and long-term role in shaping this region and its future." While in Australia, he unveiled plans to post a rotating group of 2,500 U.S. Marines in the country.

For many watchers of U.S. policy, Clinton's presence in Myanmar - which is subject to U.S. economic sanctions and is ruled by a military-led government notorious for its human rights abuses - is one more piece of what they see as a recognizable mosaic.

It's "part of the grand policy adjustment by the U.S. to reconsolidate its presence in the Asian Pacific, and its main driving force is concern about China," said Wang Yong, a professor of foreign relations and the director of the Center for International Political Economy at Peking University.

There's little question that Washington has gained diplomatically from ongoing disputes between China and other nations, including Vietnam and the Philippines, about competing claims to the South China Sea. With each flare-up, the United States has grown in importance as a hedge against Chinese dominance.

The same holds true for a disagreement that threatened to boil over last year between China and Japan about ownership of a string of islands in the East China Sea known in China as the Diaoyu and in Japan as the Senkaku.

China military denounces U.S.-Australia defense upgrade

China's military denounced the United States and Australia on Wednesday for upgrading military ties, warning that such moves could erode trust and fan Cold War-era antagonism.

Chinese Defense Ministry spokesman Geng Yansheng made the warning about a plan unveiled in mid-November by U.S. President Barack Obama and Australian Prime Minister Julia Gillard to form a de facto base in north Australia for up to 2,500 U.S. Marines.

Geng's comments came on the same day Australian Foreign Minister Kevin Rudd was reported as backing the formation of a security pact with India and the United States, another step that could fuel China's worries of being fenced in by wary neighbours.

"Military alliances are a product of history, but we believe any strengthening and expansion of military alliances is an expression of the Cold War mentality," Geng said in answer to a question about the U.S.-Australian announcement, according to a transcript on the ministry's website (www.mod.gov.cn.).

"This is not in keeping with the tide of the era of peace, development and cooperation and does not help to enhance mutual trust and cooperation between countries in the region, and could ultimately harm the common interests of all concerned," he said.

"We hope that the parties concerned will do more that is beneficial to the peace and stability of the Asia-Pacific region, and not the contrary."

But the Chinese spokesman indicated that Beijing was not shunning Washington. Chinese and U.S. defense officials, led by Under Secretary of Defense Michele Flournoy, will hold talks in Beijing next Wednesday, Geng told the briefing.

Earlier this month, Obama told Asia-Pacific leaders that the United States was "here to stay," announced the plans to set up the de facto military base in north Australia and chided China for trying to prevent discussion of its South China Sea territorial disputes at regional forums.

The Chinese Ministry of Defense is the public mouthpiece of the People's Liberation Army (PLA), but foreign reporters are not allowed to attend its briefings.

COOPERATION OR CONFRONTATION?

Although falling short of full-throated condemnation of the U.S.-Australian move, Geng's words were tougher than earlier reaction from China's Foreign Ministry, which said Washington and Canberra should focus on cooperating with Beijing.

Geng said the idea raised by U.S. and Australian officials of advancing "integrated air and sea combat" amounted to "trumpeting confrontation and sacrificing others' security for the sake of one's own security."

Chinese President Hu Jintao has made clear that he wants to avoid repeating the rifts that soured ties with Washington in the first half of 2011. Hu retires from power late next year, when the U.S. is focused on its presidential race, making China's leaders especially reluctant to risk distracting rows.

Beijing is also still licking its wounds from last year, when loud maritime disputes with Japan, Vietnam, the Philippines and other neighbors fanned suspicions about China's intentions.

Chinese military officers have, however, sometimes taken a tougher stance on security worries than civilian officials.

Earlier this week, PLA Major General Luo Yuan, well-known for his hawkish views, warned that Obama's regional push showed that the United States wanted to encircle China.

The comments from Australian Foreign Minister Rudd could also magnify such fears among Chinese observers.

A new trilateral pact bringing in India into a U.S.-Australian security tent was worth exploring because "from little things big things grow," Kevin Rudd said in an interview with the Australian Financial Review newspaper.

"The response from the Indian government has really been quite positive," said Rudd.

The idea of an Australian, Indian and U.S. trilateral security dialogue, in part to counter China's rising might, has been pushed by a trio of think-tanks in all three countries, but has yet to be adopted by any government.

At a briefing in Beijing, Foreign Ministry spokesman Hong Lei did not comment directly on Rudd's statement.

"China hopes that countries in the region will do more to promote regional peace, stability and development," Hong said in answer to a question about the proposal.

India's Foreign Ministry did not comment on Rudd's statement. But Indian analysts said Delhi was likely to be cool on the idea, partly out of reluctance to risk riling China.

"The Indian political establishment has always been wary of the idea of a military alliance," said Uday Bhaskar, the head of the National Maritime Foundation, a New Delhi-based think tank.

Tuesday, November 29, 2011

SKorea and Argentina to have huge investment in Cebu Philippines

Argentinean transnational firm eyes making hefty investments in Central Philippine project

An Argentinean multinational pharmaceutical company is eyeing to build a manufacturing plant in the Philippines, a move which, if realized, should further boost trade relations between both countries.

Martin Lo Coco, executive director of the Argentine Chamber of Commerce for Asia and the Pacific, revealed that Bagó Laboratorios, a multinational company based in Argentina is now considering the possibility of putting up a manufacturing plant in the Philippines, in addition to existing plants established by the company in Vietnam and Taiwan.

Bagó Laboratories is owned by the Bagó Group, a major Argentine business firm with a strong presence in several Latin American countries. The group comprises of different companies focused on health care and on improving quality of life as well as providing high-tech services in strategic areas.

Lo Coco, who led Argentinean businessmen in a business matching session with the delegation from the Cebu Chamber of Commerce and Industry (CCCI) in Buenos Aires, said the investment could further revitalize trade relations between the Philippines and Argentina.

“Our trade relation for now is still not that strong but the future will be great especially with the plan of Bago to open a big plant in the Philippines,” Lo Coco told Manila Bulletin before the official start of the business matching session.

Melanie Ng, CCCI’s head of trade mission, said the first day of the business matching session proved to be very successful even as Argentina was on a national holiday. She said local businessmen met with their

Argentine counterparts and discussed ways to build viable partnerships in business.

Arvin de Leon, minister and consul general of the Philippine embassy in Argentina, said now is a good time for both countries to strengthen business relations and stressed that the trade mission being conducted by the Cebu provincial government and the CCCI is a “great start.”

Korean Firm Mulls $400-M Underwater Visayas-Mindanao Power Connection

Korea’s Advanced Management Development Association (AMDA) mulls a $400-million underwater cable that would link the Visayas and Mindanao power grid with supply coming from the Leyte geothermal power plant.

Cristino L. Panlilio, trade and industry undersecretary for trade and investments promotion said the potential investment was facilitated by business and consulting firm ZMG Ward Howell.

There is also the potential of another underwater cable that would connect power from Batangas to Mindanao.

The company is expected to consult with National Grid Corp. of the Philippines if it decides to proceed with its plan, he said.

Panlilio has met with AMDA managing director Hyung soo Kim during the recently concluded Korean investment mission accompanying the visit of Korean president Lee Myung-Bak..

In addition, Panlilio said that water filtration company ANT (Advanced New Technology) 21 of Korea is also looking at working with water concessionaires in the country for the provision of clean water and sewerage treatment technology.

The company is eyeing for partnerships with Maynilad and other water concessionaires in other parts of the country.

With its in-depth experience in research and on-site consulting, ANT21has accumulated know-how in environmental technologies, especially in water treatment technology.

ANT21's goal is to solve environmental problems using its accumulated know-how and to provide economic profits for businesses and agreeable environment for people.

ANT21 is exerting its best efforts to achieve these goals with service oriented mind set and unflinching determination.

Bilateral relations between the Philippines and Korea have never been this dynamic with both countries enjoying robust growth in trade, investments and tourism.

In terms of bilateral trade, both countries posted total trade of $9.3 billion in 2010 almost doubling the $5.2 billion level five years ago.

Annual trade of Korean firms also jumped more than five folds to $390 million in 2010.

In terms of investments, Korea has become the Philippines third largest country investor since 2009.

Hanjin Heavy Industries is the country’s biggest Korean investor with $1.9 billion for a shipyard facility in Subic freeport that is now employing over 20,000 people. Hanjin is now exporting ocean-going vessels to various firms.

Hanjin’s huge investment has catapulted the Philippines as the world’s fourth largest ship maker. Other Hanjin investments include Phoenix Semiconductor Philippines Corp., a local unit of Samsung Electronics.

In terms of tourist arrivals into the country, Koreans topped the list. There have been 610,000 Korean tourists in the country as of August this year. There are also huge Korean communities in the country numbering 120,000.

From the Philippine side, there are 350,000 Filipinos working in South Korea.

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