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Chris Buckley in the NYT today makes no mention of the Bo Xilai episode in 2012 and what this meant for Xi's future policy actions. Cheng Li calls it the most significant happening since the Lin Biao incident in 1971 and Tianmen in 1989. Brookings Institution offers this discussion of the Bo Xilai episode with Cheng Li, China expert on its economic and political elites. Cheng Li rejected the idea that China at the time in 2012 reflected "resilient authoritarianism," instead anticipating problems such as Bo Xilai emerging as a demagogue putting China in an ultranationalist and uncertain direction. This happened during the transition to a new team of leaders led by Xi Jinping in 2012. Xi could see the corruption in the CCP and the hypergrowth in China causing problems of irreparable environmental damage (now climate change), regional inequality, and offering an opening for demagogues to step into this mix of problems. Xi  acted devising policy shifts away from Hu Jintao and Wen Biao of the Bush-Paulsen era and pushing away from focus on rapid growth, shifting to counter inequality, unstable dependence on construction and housing, and excessive debt of that period. Little mention is given to this in NYT Chris Buckely's version of US-China relations in today's NYT (November 13, 2023). ...

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Questions raised in this Hindustan Times report about whether India's participation in the Shanghai Cooperation Organization makes sense now after the pandemic and the new arrangement in global affairs. New supply chains and trade alliances formed after the pandemic are likely to be very different after the pandemic and formed with dominant consideration of each nation's economic interests including manufacturing in the home country.  India joined the SCO to forge ties with the central Asian countries. But this no longer makes sense as India's manufacturing ties with individual nations such as Britain, Japan, Taiwan and the U.S., European Union may make more sense and build on "Made in India" initiatives than older thinking and approaches. Britain after Brexit, Japan and Taiwan after a realignment of trade relations, are keen on expanding business and trade, investment ties with India. India has many opportunities to pursue for mutual economic benefit with these countries. Germany, France and other EU countries, the U.S. are also keen on expanding trade and investment with India to boost their economies after the pandemic. This is a crucial juncture for India to plan for the next 10 years for a changing world in which India becomes a dominant story in manufacturing. Australia's participation in the RCEP may also not be long term under the prevailing climate of trade relations with China. Australia India trade can be expanded with new efforts.  ...

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This editorial in the Economist looks at China's relationship with Russia. It says the Ukraine conflict and western sanctions have resulted in Russia moving closer to China. Yet the two countries have competing interests in central Asia, and different relations with India and Vietnam, in the Asian region. Russia is also wary of China copying designs of Sukhoi aircraft in sales to China of advanced military technology. The major oil and gas deal signed in 2014 provides Russia with a new outlet for oil and gas with the cooling of the relationship with Europe. Yet Russia has strong ties built with Germany over the entire post war period, and differences have emerged in U.S.- German relations. Germany's relationship with Russia- cooled by sanctions and German wariness over Russian intervention in Ukraine and Russian wariness over NATO close to its borders- spans 7 decades and is likely to remain strong in the long term. This comes from the shared sense of awareness of the terrible conflicts of an earlier period, just as it has for French-German relations, and from the strong efforts made by Germany to preserve the relationship and peace in Europe. Chinese president Xi's visit to Moscow on May 9, for celebrations of victory over Nazi Germany, will be followed by a visit May 10 by Chancellor Merkel of Germany. A factor in German-Russian relations is the close trade links, cultural exchanges, and history going back to the GDR where Chancellor Merkel is from, built up over many years, that are likely to set the long term future of relations. China's dominant partner relationship in the China- Russia relations does not bode well for the future of relations, compared to the equal partner relations with its European neighbor, Germany. In this different light Ukraine is a temporary pause, in German-Russian relations and peace in Europe, a situation which is in China's long term interest as it focusses on its economy and the next phase of development for a modernized economy. Especially as China continues to build on its own vital trade relations with Germany and the European Union, the latest example being Germany, other EU nations, and India, joining the China sponsored Asian Infrastructure Investment Bank. ...

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This WSJ report sees Angela Merkel as leaving an international legacy of cooling relations with America. It says Angela Merkel turned down US president Biden's first call after his election as president because she was going to her cottage in the country that weekend. This report says after 4 terms Merkel is to be seen as dramatically increasing her country's economic dependence on China, pushing through a energy deal with Russia, joining France in challenging US political influence in Europe, rejecting American requests on economic policy and setting Berlin's openness to Chinese technology.  What happened with her youthful fascination with America during the years growing up in East Germany asks the WSJ? It also says of the Bush years of unregulated banking leading to the 2009 US banking crisis- that left her with a distaste for Anglo-Saxon banks and Wall Street lobbying. Of the Obama years it says Merkel found Obama unsteady, verbose, and sometimes meddling, with the spying on Merkel's phone also giving her a sense of disrespect to Germany. The result was that Merkel increasingly was fascinated by the Chinese experiment in development, visiting China 13 times while in office, studying Chinese history, politics and economics.  Merkel over this period met with the Dalai Lama and had questions about one party rule by CCP. Yet she became more and more resigned to Germany as a country of 80 million, not the EU and Europe as one group united in vision with a population of about 500 million, larger than America that could be a force for good in its own right. She said "we can be as hardworking, awesome,  as super as we like, but as a country of 80 million we won't be able to prevail if China ever decided that it no longer wants to have good relations with Germany." She ignored the experience of Sweden and Scandinavian countries in their relations with China. In saying this she ignored the potential of India and its neighbors in south-east Asia that make up about 2 billion people or about twice the population of China. She also seemed unaware of the role Woodrow Wilson, FDR, have played in realizing the democratic vision of the German revolutionaries of 1948 who failed to bring democratic government to Germany. And she had forgotten of the role Harry Truman, the commoner president of the US, who played a major role in establishing German democracy and its dignity during the Berlin Crisis after the blockade of Berlin by the Soviets in 1948. The mediocrity of presidents from Bush to Trump has bothered Merkel. Yet it may very well be that there is nothing mediocre about Mr. Biden and America's vision about its future as it grapples with the social and economic problems of the last three decades, as it has done before in its history and come through. ...

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The US Saudi Strategic Alliance is modeled on the US Japan Treaty and commits US to defend the Saudi kingdom. A draft of the treaty is being negotiated. It requires a two thirds majority in US Congress. A parallel US Saudi Cooperation Agreement is also put in place by Biden and can be done by Executive Order. What motivates this at this time and why after 9/11 when most of the attackers were Saudi, and after relations with Saudi deteriorated under Obama and president Biden's questioning some Saudi actions? The two main reasons are the change Salman of Saudi is bringing to the country modernizing its internal society and and freeing it up from the religion based restrictions of an earlier period, and his focus on investment in the economic development working with India and partners in the region, a relief from the incessant wars from the period of Reagan/Bush as the US makes domestic policy benefits determine foreign policy under Biden. Unknown in most of the world and media a change of demeanor happened at the G-20 meetings in India when prime minister Modi brought Biden and Salman together on economic development plans of a development corridor linking India through Saudi andest Asia to Europe. Biden supported the effort and it showed the Saudis under Salman as leading a development plan along with Modi and other partners for development in the Middle East after frequent wars dissipating the resources of the region and of the US. since Reagan/Bush policy failures and escalation. It is this intervening period of three decades of war that led to China's gains in relation to the US, with twin strikes to the US of China's domination of supply chains, deindustrialization, and loss of manufacturing jobs for working classes in US and Europe. Coupled with this is the opportunity for Biden and Blinken to give Israel an opportunity it never enjoyed for most of its life as a free nation since 1948 to have peace with its Arab neighbors. It is even possible that the prospect of this happening without a settlement for Palestinian statehood that would leave things in Gaza and Palestine at status quo that propelled the sudden attack on Israel. Biden and Blinken want to do the Saudi deal with a new element of getting Palestinian statehood on a basis of respect for dignity of people and of economic independent country which would put to rest decades of Arab neighbor disapproval of Israel. This is both a new vision of West Asia, what we call the Middle East, and an opportunity to focus and also cope with on Asia with the rise of China, India, as the two largest economies with EU and US in the world. ...

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In this WSJ op-ed essay William Galston says U.S. prestige and influence in the world has suffered under the presidency of Mr. Trump. The special relationship with Britain and Europe is at risk. Neighborly relations with Mexico are a thing of the past. Embracing questionable regimes is seen as failing America's respect for democracy. Squandering the moral authority and prestige of the U.S. will have long term consequences as China and Russia have increased their influence, says Galston. He points to Trump's attitude of indifference, he probably does not care, says Galston.

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The Russian position for a ceasefire in Ukraine and peace talks is set forth by president Putin. "Our principled position is that state of Ukraine must be neutral, non aligned and free of nuclear weapons." Putin wants Ukraine to give up Donetsk, Luhansk, Kherson and Zaporizhzhia regions, Russian speaking regions in the east of Ukraine. Capitals of Kherson and Zaporizhzhia regions and some of the territory is controlled by Ukraine today. It means that Russia could accept a ceasefire under the present lines of control. It also means Ukraine would not be part of NATO, though it could be part of the European Union, as a peace settlement. All western sanctions on Russia would have to be lifted. Throughout the decade of this war Russia has maintained close connections to the Russian speaking eastern part of Ukraine with historically close ties to Russia and as Ukraine public opinion shifted to the EU Russia began its efforts to bring these regions under its control even when German-Russian relations were better during Merkel years. Russia has the support of China and Brazil in its position. At some point if a settlement is reached one possibility is that the line of actual control or LAC would be put in place. It happened in the Korean War, when the demilitarized zone was setup and in other conflicts on the Indian border with China and Pakistan, in Cyprus between Greece and Turkey. For it to happen Russia will have to dispel fears in the EU and the US that Russia will continue the conflict at some later stage till all its objectives are achieved. This requires removing the perception that Putin is set on achieving all his objectives to reopen the war at some later stage. Mr. Putin hinted at this by saying "today we are making a concrete real peace proposal," and adding that Russia was not ''talking about freezing the conflict, but its final resolution." In this situation it is the western doubt about Putin's intentions that is another barrier to a settlement on European security, with continued destruction in Ukraine when the war has entered a stalemate where both sides have exhausted their resources and have little to gain by prolonging this conflict. ...

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With the change in U.S. position on climate change, carbon emissions, and the move to raise tariffs on China's exports to the U.S. China faces a new dimension in its global relationships. Against this background China is shifting to a long term view of its relationship with India. China's new foreign policy leaders after the recent party Congress, vice president Wang Qishan and Foreign Minister Wang Yi, now see the need for new partners in a multipolar global world for the long term as China and India countries with large populations and a need for stable world trade share common interests. Wang steers the Central Foreign Affairs Commission with Yang Jiechi as director. China now sees " a lot of shared interests, concerns and positions," in the words of China's Representative Lu, in the long term issues of globalisation, urbanization, pollution, and concern for achieving stable development with high growth rates.  China now takes the long view looking back at the unprecedented change of the last 100 years, as it maps out its plans for the future. The U.S. has challenged the ideas in the blueprint for development of "Made in China 2025," particularly as it relates to western transfer of technology to China. This has created a new situation for which China is still looking for answers, and ways to come up with new strategies for development without the nearly unrestricted access to western technology of the last 2 decades.  Shared positions on world trade with India and India's close relations with the U.S. add credibility in China's  negotiating positions with the U.S.                  ...

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A unanimous vote of the Chinese Communist Party Congress now puts "Xi Jinping Thought on Socialism with Chinese Characteristics in a New Era" into the Chinese Constitution. As the 19th Party Congress ends Xi Jinping joins two other leaders of the Communist Party Mao  Zedong and Deng Xiaoping, who were so honored. It also appears that unlike previous leaders Jiang Zemin and Hu Jintao, Xi Jinping is concentrating authority and direction for China. This Congress marks the end of Xi's second five year term as party general secretary.  Under Hu Jintao there were efforts by some Communist leaders to create new power bases. This period ended with Xi Jinping bringing a clear direction and authority under the Communist Party. This has led to China taking on a leadership role in the world economy and global political affairs after the election of Trump in the U.S. in 2017. The management of the economy also has provided a soft landing after threats of disruptions in trade relations with the U.S. ...

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After the U.S. withdrawal from the Paris Climate Change Agreement, China and the European Union sought to fill the leadership on this issue. Yet the reality now looks to be different. China decreased coal consumption between 2014-2016. Now China is ramping up coal generation as it needs to provide stimulus to a slowing economy as trade relations with the U.S. worsening.  In 2017 the trend reversed with state backed loans to help economic growth and surge in provincial permits.  China is now moving forward with plans to add coal fired power equal to almost the total U.S. capacity, according to Coalswarm, which tracks power plants worldwide for coal use. This would push coal fired production to above the cap of 1,100 gigawatts China has set and its current cap. Its current production is already about half of the world's total coal fired generation and quadruple that of the U.S. In 2017 China made up one fourth of total CO2 productions.  Canada is missing its emissions targets and is not likely to meet 2020 targets say experts. In the EU members reliant on coal power energy oppose EU parliament efforts to end subsidies to the most polluting plants by 2025, seeking delay of one decade. At the climate change talks in Katowice, Poland, these changes are facing opposition. As a sign of how the situation is changing since the 2015 Paris Accords, the protests in France by yellow vest protestors started in opposition to a carbon tax intended to meet France's climate change targets. That tax increase is being withdrawn by president Macron. Families struggling financially had a different perception of the increase in the fuel tax and even young people who support meeting emissions reduction joined the protests, as reported in the New York Times and The Times. This tells a lot about how the issue of climate change has changed in the public perception in three years. ...

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The US under president DJT puts out a new National Security Strategy in a document which states it clearly. The days of the Middle East given importance are thankfully over it says. The focus is on the First Islands, from Taiwan, Philippines to Japan for strengthening defense in relation to China. The Monroe Doctrine is now part of US foreign policy with a DJT addition- "that the American people- not foreign nations or globalist institutions- will always control our own destiny in our hemisphere."  It also means the US has a new policy towards Russia and for NATO.  The DJT administration priority, it states, is “ending the perception, and preventing the reality, of NATO as a perpetually expanding alliance.” The new strategy is that Europe needs to “take primary responsibility for its own defense.” The Monroe Doctrine and the disassociation with NATO expansion are linked. How so? Russia's foreign policy is for winning recognition as a Northern European Power with its own version of the Monroe Doctrine, being able to control its destiny in its sphere of influence. The way the Monroe Doctrine was implemented in 1823 was by a tacit recognition gained from Britain that it would support the US in its idea of no European colonial powers (France, Spain other ) being allowed to interfere in Latin America, in the western hemisphere. In 2025 the way the Monroe Doctrine is implemented with the DJT Corollary is that the US is tacitly gaining support from Russia/China for implementing the Monroe Doctrine so that no foreign powers will interfere in US sphere influence in the western hemisphere.  Where does this leave Europe and Ukraine? European Union and NATO expansion has now gone too far and NATO which was primarily for Cold War struggle between Communism and US/UK style democracies is over, but NATO has not been disbanded, or a new alliance setup with new goals. Instead as it lingers on it has created new problems such as NATO expansion to the borders of Russia, creating security risks for Russia. This has led to the war in Ukraine and the Republican administration under DJT seeks to defuse tensions and the Ukraine war by excluding NATO expansion, removing the US from European security by delegating that back to Europe (Germany and France, Italy, UK) and by acting as a moderating influence between Russia and Germany, France, that see Russia as a threat after it's attack on Ukraine. US also upholds the policy and principle of no nation invading another country, as Russia did with Ukraine, and in anticipation of the China threat to Taiwan. This part gets nuanced but the overall policy is coherent and Russia accepts this, China is gradually coming to the idea that it has to accept this situation with Taiwan to preserve its economic advances and its exports to the US and EU.  In practice once the interference of China or Russia is removed and European powers in addition, the US has freedom of action in the Western hemisphere and Latin America to prevent crises such as with drug trafficking gangs in Mexico and Venezuela, and unstable regimes sending people north to the US across the Mexican border as from Central America and Venezuela.   ...

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How will posterity view Angela Merkel. As she ends a fourth term this BBC News report says it will remain a contested legacy. Much of what went right has already been written. A woman, a pragmatic scientist who hewed to the center not just as a scientist but with a knack for politics. Much of her early period in office was one in which she had to tackle the eurozone crisis. The euro's weakness had its roots in the way Mr Kohl allowed eurozone membership for countries such as Greece without adequate entry requirements. Some of the other problems were also left behind by an overzealous mentor Helmut Kohl who pushed for German reunification that never really happened in terms of bringing all east Germans into the idea of the Federal Republic. These problems in a neglected eastern part of Germany around Dresden were never tackled by Merkel. They were social issues that Merkel's pragmatic thinking failed to grasp. Letting in migrants from Arab and African countries was a move that Merkel made without realizing the full implications. This policy was reversed but led to the emergence of extreme right wing sentiment in parts of the country. It is left to a future German leader to tackle the social and economic disparities that affect Germany today. As time passes people reflect and a more careful view prevails. Dr Rudiger Schmitt-Beck reflects this when he says that the Merkel years were about  a bizarre mix of modernization and backwardness. Merkel rejected nuclear energy after the events at Fukushima nuclear plant in Japan. As a scientist she was able to tackle such issues. Yet on the major social issues of the day Prof. Schmitt-Beck of the University of Mannheim, says she left Germany "grotesquely behind"- on child care, climate policy, digitization, infrastructure building, on demographic change. These are the issues that the Social Democrats and the Greens are standing up for today. Ironically Merkel may be remembered more for something that is not even mentioned in this BBC report. This is the European solidarity shown by action to financially support all EU countries including Italy with EU funding during the coronavirus pandemic.  This may be her biggest achievement because it will be lasting. Without it Europe would not be the better place it is today, resilient in the face of the pandemic.  Seen from outside Merkel will be seen as a German leader who failed to see the potential for India and other Asian countries with almost twice the population of China. Fascinated with 13 visits to China she studied Chinese history, politics and economics, says the WSJ. And did too little to balance Germany's close business and trade ties with China, with efforts in India and other countries. Seen from America as pointed out in the WSJ front page on September 23, Merkel made no effort to rebuild US relations with the Biden administration after the tumultuous period under presidents Obama with spying on her phone and with Mr. Trump over the EU's participation in NATO defense. She seemed resigned to a view that America had seen her best years, a belief that today does not exist anywhere in America. US president Biden's first phone call to Merkel was put off for a few days says the WSJ, and Merkel continued to build close ties with China, ignoring the fact that this was a new administration closer to that of presidents FDR and Harry Truman who did so much for Germany. And a president very different than any of Biden's five predecessors. ...

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Spain has under prime minister Pedro built its economy around close relations with China. Here Spanish newspaper El Pais describes the new role of China's chief economic representative He Lifeng sent to negotiate with the US and his success in getting a 90 day reprieve where US brings tariffs to 30% and China to 10%. He replaces Liu He who was educated at US Universities and was fluent in English. Yet because he is only now representing China overseas what is overlooked is Lifeng's extraordinary connections to the economic emergence of China in Asia. He was just graduating as a civil servant in China when president Xi was vice minister of Xiamen, Fujian province. He studied at Xiamen University getting a Ph.D in economics in 1979. He shares the struggles of going through the Great Proleterian Cultural Revolution experienced by Xi in rural areas.  Lifeng has driven development of China's state driven economy, as deputy director of the National Developement and Reform Commission in 2014, and driector in 2017, as Xi emerged as leader of China. ...

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Media accounts have given so much attention to the Nixon Feb. 1972 visit to China that most people may be unaware that this was just an important yet small beginning. The significance of what happened after 1972 is not fully understood. In 1973 the US liasion Office was setup in Beijing and China's liasion office in Washington DC.  Beyond this not much happened. Why? In 1972 election year the Watergate scandal started in June of that year only 4 months after the Nixon China visit. Nixon was too engaged with fighting impeachment that there was not much followup to the visit to China. In 1974 Nixon resigned and Gerald Ford became president. Till Carter became president in 1976 and in 1977 negotiations began to upgrade relations with premier Deng Xiaoping visiting the US in 1979. In China too a lot was happening. Mao was hospitalized in 1972 during Nixon's visit to China, the reason for the urgency on the Chinese side. In 1976 within a few months first premier Chou en lai and then chairman Mao passed away. A power struggle led to the head of the Military Commission Deng taking control. It was not till 1977 under Jimmy Carter 5 years after 1972 that China began full normalization, gained diplomatic recognition as the People's Republic of China and trade, cultural contacts were started.   ...

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Putin takes the first step for Russia to join in discussions for a lasting peace. More than a ceasefire is needed, as many ceasefires have come and gone and the war is now over 15 years old, pausing for a while and then starting again many times. Russia calls for addressing the underlying issues behind the war.  It started with Russian support for Yakunovich 2010-2014 which ended with the Maidan protests in Kviv and Lviv. Russian and Putin strategy at that time was that as long as  a pro-Russian or a person leaning towards Russia with good relations to the West -as existed in some of the former states in Eastern Europe during the 1980's during the Soviet Union such as Poland and GDR- this would be acceptable. The Maidan protest led upheaval thus had a contrary effect which Germany under Merkel and France under Sarkozy and Hollande failed to grasp. Obama judged Russia by its GDP, ignoring its history and relations among European states as one of the major powers in Europe, a technological state with nuclear power. As China shifted away making the integration of Hong Kong and now Taiwan a priority under president Xi, and asserting the virtue of its state run capitalist system over free market capitalism, the fissures began to develop in the system that prevailed after World War II and which survived the fall of the Berlin Wall. These are some of the origins of the war and are also in some of its aspects geopolitical and relate to world peace,, and peace inside nations in general outside the Ukraine war. And here relate to Venezuela Mexico and US inaction in tackling borders and cartels, the US border with Mexico, Syrian war and Syrian refugees entering Germany/Europe, the anti refugee movements in Germany and the EU, refugee crime in US and Europe, all connected in some way to the unsettled borders of the Russian state with US and Western European + Eastern European states in NATO and the EU nearby. And the limiting or removal of Russian influence in Ukraine seen by Russia as unacceptable in regions nearest to Russia that speak Russian. Britain has the virtues of its parliamentary democracy, yet it is far from Russia's borders and it just like the Russian Empire had an Empire in India and a near thing to an Empire in China, as recently as 1950, over history of western colonial empires of 500 years not too long ago. Which means it is good to be starry eyed but the reality in European history since 1400 is of dominant states and colliding or co-existing spheres of influence, mostly co-existing in some balance of different states in the interests of peace and welfare of the people.     ...

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Reports by David Sanger and other reporters from the NYT on the situation in Ukraine as seen from the US, Russian, European, and Ukrainian sides. Russian president Putin sees Ukraine as part of the Russian cultural and economic sphere with deep ties to Ukraine in its history. The western parts of Ukraine near Poland and near the capital Kiev see their future more in relation to other Eastern European countries that have moved closer to or joined the European Union such as Poland and the Baltic republics of Lithuania, Latvia and Estonia. It is not clear even to advisors to the Russian government what Mr. Putin's intentions and plans are. Russia has not yet recognized the two breakaway republics in Eastern Ukraine based in Donestsk.  Some of the key points in Ukraine's recent history- one needs to know this because Ukraine has a difficult history in its relations with Poland/Lithuania and with Russia alternating over centuries, with neither relationship providing the kind of government that would have helped Ukraine's people. Formed only in 1991 the Republic of Ukraine has a long history since 1500 of being part of Poland and Lithuania, and later part of Russia, with some parts of Ukraine under the Austrian Hapsburgs till 1900. Ukraine was part of the Soviet Union in the 1920's to the 1950's in one phase in which it suffered badly with collectivization of agriculture under Communist Soviet leadership and famines. In the second phase of Soviet rule after the 1950's Ukraine made a dramatic recovery as Krushchev assumed control with Leonid Brezhnev who was from Ukraine. After 1964 Brezhnev ran the the Soviet Union till 1984 and this was a good period for Ukraine. The Soviet Union collapsed in 1990 and Russian leader Yeltsin separated Ukraine and Belarus to go their own ways as separate countries from Russia. For 1990-2000 Ukraine did badly losing about 60% of its GDP, a situation also experienced by Russia with economic instability. Russia recovered under Putin, yet Ukraine has struggled since because of mismanagement under different governments and widespread entrenched corruption.  Governments alternated in the period 2000 to 2020 between ones friendly to Russia and friendly to Poland and European Union. This happened in 2004 and again with protests in 2014. The protests in 2014 in Kiev and Lviv led to a government that favored closer ties with EU and NATO. It is this pendulum swing that is Ukraine's and Eastern Europe's experience in the 20th century and it continues into the 21st. What Russia wants is for Ukraine to not be a place for NATO operations, even if it is not allied to Russia after Russian president Putin was disappointed with the Russian allied government's performance under Yanukovich in the 2000-2014 period with corruption and mismanagement. France in the 16th and to 18th century is described by Brendan Simms of Cambridge in his new book on Europe, as needing the external danger for unity, and unity to meet external danger. This could be true also for Russia as the danger posed by NATO helps bring unity to Russia. And this could be a way to unify Russia and provide it with the confidence that it seeks in its effort for parity with the European Union and the US, China in the 21st century.   ...

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Property sales are estimated to fall by 28-33% in China, twice as earlier forecast by S&P Global Ratings. This is a steep decline that will affect the Chinese economy so dependent on construction. This week there were reports of property buyers in 100 cities getting together to withhold payments on unfinished apartments. Property developers depend on these payments as they have severe liquidity problems and need cash for operations.

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Though this report in WSJ speculates about removal of Foreign Minister Qin Gang after only a year in office and the return of veteran diplomat Wang Yi, it is clear that the 69 year old Yi brought experience badly needed by Xi Jinping. The decisions taken during the pandemic were reversed, the isolation is now seen as an error as China engages with the US and the EU. Like veteran diplomat Jaishankar for Mr. Modi, Xi needs Wang Yi's skills more than ever today to build a stable productive relationship with the US. During Mr Yi's long career US China, EU China relations reflected important decisions that were taken with a shared understanding, more than ever the need today.

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In a first at Davos World Economic Forum, China's president Xi Jinping uses the 2017 meeting to give a one hour long spirited defense of the world trading system, critical of U.S. president elect Trump's protectionist views without naming him. Xi pointed out that "no one will be winners in a trade war." And went on to add that restricting world trade was like "locking oneself in a dark room, keeping out wind and rain from outside but also light and air." For the first time Jinping stated that China would take the U.S. role of defending the world trading system from attack as needed. On climate change Xi defended the Paris accords, and gave China's commitment to pursue changes regardless of what the U.S. under president Trump does. This follows Chancellor Merkel of Germany's statements on the issue critical of the views of president elect Trump, and taking the lead to defend the world trading system. Xi also pointed out that many of the ills that led to voter discontent in the West were not really from the freeing up of trade but from the pursuit of excessive profit with the financial crisis of 2008.   ...

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China's new prime minister Li Keqiang makes his first foreign trip with a trade delegation for talks with Indian representatives and business leaders, showing the importance he places on India. India offers China's companies access to large opportunties in infrastructure development, and China can benefit from India in the area of information technology and pharmaceuticals. Trade is envisioned as expanding from $70 billion in 2012 to $100 billion by 2015, and expanding rapidly as the two economies grow. Economic contacts also would provide an anchor for future relations as China faces difficulties in its relations with Japan, and S. E. Asian countries, and a U.S. wary of China's capabilities. This was pointed out in the joint statement. Li Keqiang also emphasized this in an editorial page article in India's daily newspaper, the Hindu, saying India and China have "to work hand in hand," to promote Asia as "an anchor for world peace." A peaceful India-China trade and economic relationship opens the way for investment and participation in development by China alongside Japan, Germany, France, UK and the U.S. in India, as the next major source for global economic growth. This also serves to defuse Asian tensions as both economies grow, and increased contacts between cities in India and China with the twining of cities program launched in the meetings. India can use China's capabilities in infrastructure development, the two countries share the need for information sharing on lowcost solutions in healthcare, in managing urbanization, and solutions for clean water in rural areas, and use of IT solutions in development, where much remains to be accomplished through cooperation. Some of these themes are the focus of Li Keqiang in his efforts for urbanization in China. ...

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Tibet's history with the invasion ordered by British India's Viceroy Lord Curzon in 1904. China's version of the events is of imperialist invasion of Tibet. After the British withdrew from Lhasa, the Chinese Manchu rulers of Qing dynasty sent 2000 Chinese soldiers to occupy Lhasa. This ended in 1913 with the fall of the Qing dynasty. In 1951 Chinese Communists occupied Lhasa a second time. China's former president Hu Jintao spent time in Tibet during the Cultural Revolution. China has movies and books which show the imperialist occupation of Tibet and events of 1904 in that light. The significance of Tibet is also in the context of being a factor in the worsening of relations between India and China leading to the border conflict of 1962 and border tensions since.

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This article in NYT by a China expert based in Hong Kong points out that a key driver in the current developmetns in Korea are not understood. With the growth of China's influence in East Asia and a decline in American influence many of the countries in the region are rebalancing. Vietnam and Singapore are pushing back. In the same way North Korea under Kim Jong Un is concerned about its dependence on China with 90% of its trade conducted with China. The Chinese participation in the strong sanctions introduced by president Trump has increased this awareness of its dependence on China. President Xi Jinping has also ignored North Korea as China focuses on larger issues in international relations, including its relationships with the U.S., EU and India. This strategic development is what drives the current meetings between president Moon of South Korea and president Kim of North Korea, and the planned meeting of Kim with president Trump.  This China expert says the shift in better relations could be part of North Korea's effort to open up to the U.S, South Korea and Japan, in an effort to diversify its relationships to reduce dependence on China. This does not mean the unification of North and South Korea, he says, because it would mean loss of power for the Kim regime and would be too costly for the South. The nuclear missile development was part of an effort to preserve the Kim regime. The Kim regime is also focusing efforts on economic development which would be better achieved by opening up to the U.S., South Korea and Japan. ...