Chasing the China dragon

Last updated 08:42 08/07/2010

First, my apologies for the delay between postings.

As most of you will probably know, these days I'm in Christchurch helping out at The Press, and it's been a busy few weeks during which I haven't been able to concentrate much on politics.

Last time I put my head above the parapet, Russel Norman was heavying the Chinese on the steps of Parliament (only kidding, Russel). I did say at the time, though, that I thought his protest overstepped the bounds of decency for an MP, and it seems the Speaker agrees with me, since Lockwood Smith has seen fit to send Norman a letter ticking him off.

Sorry to bang on about China, but it is pretty topical since John Key has just arrived in Beijing to sign a further adjunct to our Free Trade Agreement and to generally fly the flag for NZ-China relations.

The amount of time Key has put into Asia - and China in particular - is staggering. While his predecessor was fond of visiting Europe, Key has virtually snubbed the northern hemisphere since he has been prime minister.

In comparison, he has already been to most Asian nations since he became premier, and in some - like China, Vietnam, Indonesia, and Korea - he's on to his second pass.

Key is also headed soon for India, another Asian powerhouse economy.

It doesn't take a rocket scientist - or even a moneyman - to work out why. What's the point in visiting the Old Countries of Europe, most of which are stagnating, when Asia is where our economic, political, and strategic partnerships lie?

I do have a couple of issues, though. It still seems to me that Key (and other PMs for that matter) speaks out of both sides of his mouth when it comes to the Chinese.

On the one hand, we're great mates when we're signing FTAs or when we're visiting one another.

But on the other, Key's government continues to send coded signals designed to placate anti-Chinese voters.

For instance, Key has twice publicly noted his concern over the possibility of Chinese dairy firms buying up South Island farms.

And Agriculture Minister David Carter has baldly stated he doesn't believe the Crafar Farms deal with the Chinese will proceed.

Of course the Government will argue strategic public interest and the like, but I can't help but feel there is still a slight whiff of xenophobia coming through here.

It's like we're happy to have China's money, as long as they don't come over here.

Isn't it a startling coincidence that Landcorp, the state farmer, has now announced a bid for the farms itself? You have to wonder about the politics behind that decision.

The cordoning off of human rights issues from trade and other parts of the relationship suits our government very well, too, of course.

The idea has always been that engagement with China - the softly-softly approach - works better than trying to tell China how to run its domestic policy.

That might be right, though I can't see any evidence of it working. China doesn't seem to take a blind bit of notice about what the rest of the world thinks. It's grateful for the West's engagement and for being welcomed into the club of the WTO and the UN but doesn't see it should offer anything in return.

So while I've been critical of Russel Norman for the way he behaved recently, it's time to reflect on what would have happened had he tried such a stunt in Beijing rather than Wellington.

The punishment wouldn't have been a slap on the wrist from Parliament's Speaker.

Justice would have been at the point of a gun barrel, or life imprisonment.

I hope that's a point Key is able to make in Beijing today.  

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441 comments
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Sailor Sam   #1   08:50 am Jul 08 2010

Welcome back, you have been missed. Of course China does not care about the rest of the world. When you own or nearly own it, you don't have to care. If there is politics behind Landcorp and the Crafar farms, well why not. Sounds to me that even Bill Ralston does not know what is going on with his chinese partners. They seem a shifty lot anyway.

dave.schumacher@gmx.com   #2   08:57 am Jul 08 2010

Globally, this is going to be China's century, I believe, and although some seem not to realise it, the Chinese government plans decades ahead, to influence as much of the rest of the world as possible, something that should be obvious from their policies in the Pacific. I am not anti-Chinese. Frankly, NZ will need China economically. Had Russell Norman done what he did in Beijing Colin, as you say, the point of the gun or the life time in prison would have applied. Key needs to get a balance between facilitating the gain of level of economic cooperation with China this country needs and maintaining systems of values and justice we value, especially on our own patch of the planet. So far, though I'd like to be able to say different, I have only seen him grovel to China, the new Aussie PM and other players on the world stage, while I have not seen any sign of a coherent foreign policy developing on his watch. He knows he can't ignore China, and he shouldn't. The 21st century will be China's time and like it or not, NZ needs China more than it needs anybody else. But our systems of values and justice are important too.

Jo Papanui   #3   09:06 am Jul 08 2010

If the Chinese group makes the highest bid for the dairy farms wouldn't it be a form of corruption and misuse of the global financial system not to accept their bid. The whole system, rightly or wrongly, rewards the highest bidder. Otherwise it will seem to them that we are anti-Chinese and xenephobic. We will increasingly need China as world events are playing out. It will be the dominant power, and its people have a long standing genetic link to Te Tangata Whenua o Aotearoa, unlike the pakeha colonizers of the 18th and 19th centuries.

The Hong Kong group should get the Crayfar Farms if they are the highest bidder and Landcorp if its them. Doing anything else would be an internal category contradiction, flip-flop or circumvention of the conventions of the system given John Key's stated goals in the media over the last 24 hours.

jackryan   #4   09:07 am Jul 08 2010

Last time I look Asia was in the northern hemisphere.

Bill   #5   09:13 am Jul 08 2010

That's politics - trying to please constituencies at home while ensuring economic security through trade. John Key is doing his utmost to secure the best trade deals he can for us so we can keep a decent standard of living now and in the future. He has my full support as China (and Asia) will be our salvation with all those hungry mouths.

Nicole Iti   #6   09:23 am Jul 08 2010

I think we need to engage economically with India and China but on New Zealand soil anybody should be permitted to protest peacefully and John Key was wrong to express regret about it on his visit to China. It demeans New zealand our prime minister cowtowing in that way. At the same time he is right to build up the trade relationships and can't deny the Chinese the right to buy the Crayfar businesses if their tender is the highest, but I hope that wouldn't mean they could harvest dogs on the dairy farms or anything like that which would be unacceptable to the big majority of New Zealanders including me.

millymolly   #7   09:26 am Jul 08 2010

I doubt very much that Mr Key will make any statements re human right issues in China. I also think Mr Norman was over the top with his flag protest but I admire the man for having the courage to protest. I really think this Prime Minister has not the courage required to front up and tell the Chinese how the majority of the people in this country feel about freedon of speech and movement. honestly if there was an election tomorrow I would not know who to vote for ......certainly not labour and I have never voted national. Any one prepared to start a party with some sort of values for all of the the country not just the chosen few?

rc   #8   09:31 am Jul 08 2010

This sort of stuff concerns me Pandering to China on Key agenda By Fran O'Sullivan http://www.nzherald.co.nz/best-of-business-analysis/news/article.cfm?c_id=1501241&objectid=10657008 What benefit will be get from having the Chinese build our infrastructure? The cost up front may be cheaper than our local companies can do it, but the bulk of the tax payer money spent on the project(s) will head back to the mainland.

David C   #9   09:55 am Jul 08 2010

Selling 8000 Ha of highly productive land to a major buyer of dairy product is just plain stupid. This offer is the thin end of a VERY large wedge!

Tim   #10   10:04 am Jul 08 2010

I suggest #4 look on the map of the world and additionally learn a little bit about globalisation and spheres of political influence (though acknowledge most of Asia is geographically north).

Sam #1 that sounds like a real redneck sort of comment on the basis of saying they are "shifty" and insulting Bill Ralston. Perhaps you are trying to express some concerns articulated in a couple of the other posts. Though I might share some of them with you the fact is:

If I have a house for sale and a Kiwi offers me $440 000 and a Chinese 445 500 the whole capitalist system is predicated on the assumption I'd accept the higher bid. Key can't make noises to the Chinese giving lip service to this without walking the walk as well. The rules have changed and we can no longer insulate our economy.


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