(140)”Chinese Model” to Colonize Africa

After World War II, Africa underwent decolonization, and many African countries gained independence. As technology and capital were transferred from the West to China, Africa gradually lost the attention of the West. Strengthened by the West, the Chinese Communist Party steadily encroached on Africa. The forces of the CCP started replacing what the Western sovereign powers had set up in Africa and infiltrated its politics, economy, and society. On one hand, the CCP has wooed African states under the banner of aiding those countries’ development, creating a united front against the United States and other free countries in the United Nations. On the other hand, through economic bribery and military aid, the CCP has relentlessly manipulated African governments and opposition groups, controlling the affairs of African countries while imposing the Chinese model and its values on them.

From 2001 to 2010, the CCP-controlled Export-Import Bank of China supplied US$62.7 billion dollars in loans to African countries. The interest rates on these loans were relatively low and superficially do not appear to come with political conditions, but because these loans use natural resources as collateral, the CCP has obtained the effective rights to extract massive amounts of resources.

In 2003, the loan provided by the Export-Import Bank of China to Angola used crude oil as collateral in what is called the “Angola Model.” The following situation developed: “There are Chinese to drill the oil and then pump it into the Chinese pipeline guarded by Chinese strongmen on its way to a port built by the Chinese, where it is loaded onto Chinese tankers headed for China. Chinese to arm a government committing crimes against humanity; and Chinese to protect that government and stick up for it in the UN security council.” [72]

In 2016, China became Africa’s biggest trading partner and foreign direct investor. [73] In Africa, the CCP’s management model has been roundly criticized for its many ills: low wages, poor working conditions, shoddy products, “tofu-dreg engineering,” environmental pollution, bribery of government officials, and other corrupt practices. China’s mining operations in Africa also frequently met with protests from the local people.

Michael Sata, former president of Zambia, said during his presidential campaign in 2007: “We want the Chinese to leave and the old colonial rulers to return. They exploited our natural resources too, but at least they took good care of us. They built schools, taught us their language and brought us the British civilisation. At least Western capitalism has a human face; the Chinese are only out to exploit us.” [74] In Zambia, Chinese influence can be seen everywhere. Sata was faced with no choice but to make deals with the CCP. Once he gained power, he immediately met with China’s ambassador, and in 2013 visited China.

Sudan was one of the earliest bases that the CCP established in Africa, and over the past twenty years, the CCP’s investment in Sudan has grown exponentially. Apart from its abundant oil reserves, Sudan’s strategic location at the Red Sea was also vital to the CCP’s plans. [75] In the 1990s, when Sudan was isolated by the international community because of its support for terrorism and radical Islam, the CCP took advantage and rapidly became Sudan’s largest trading partner, purchasing most of the oil exported by Sudan. [76] The investment by the CCP helped Bashir’s totalitarian regime survive and develop despite being contained by the West. The CCP’s military even exported weapons to Sudan during this period, indirectly facilitating the Darfur genocide in Sudan at the beginning of this century.

In the international community, the CCP played a two-faced role: While China sent out a peacekeeping team to the U.N. to mediate the conflict in Sudan, Beijing also openly invited the Sudanese president, a criminal wanted by the International Criminal Court for crimes against humanity, to visit China, and declared that no matter how the world changed, no matter what the situation was in Sudan, that China would always be Sudan’s friend. [77]

The CCP spares few efforts in wooing developing nations. The Forum on China-Africa Cooperation was established in 2000 and first held in Beijing. In the subsequent forums that were held during key years, the leaders of the CCP threw money at Africa. In 2000, during the inaugural meeting, Jiang Zemin announced debt relief of 10 billion yuan for the poor countries in Africa. In 2006, when Beijing was again the host country of the summit, the CCP not only announced the relief of debt as of the end of 2005 for poor African countries it had diplomatic relations with [78], but also sent over US$10 billion in funding, credit, scholarships, and various aid projects.

In 2015, during the summit in Johannesburg, South Africa, the CCP announced that it would provide capital of US$60 billion to work with African countries to carry out the ten major cooperation plans. [79] On August 28, 2018, the CCP’s vice minister of Commerce noted that “97 percent of products from thirty-three of the least-developed African countries have zero tariffs.” [80] On Sept. 3, 2018, during the China-Africa Cooperation Forum held in Beijing, the CCP again pledged that it would provide Africa with US$60 billion of no-strings-attached aid, interest-free loans, and project-specific capital and investment. At the same time, the CCP promised that for African countries with diplomatic relations with the CCP, it would cancel their inter-government debts that matured at the end of 2018. [81]

After several decades of painstaking effort, through commerce and trade, the CCP gained control over Africa’s economy. By using economic incentives, it has bought off many African governments, such that they follow Beijing’s every instruction. The outside world has noticed how the CCP regime is attempting to conquer Africa, and how it is using Africa as the stage for promoting and advocating the Party’s model. A scholar in the Chinese regime establishment declared: “China’s progress over the past forty years has proven that it doesn’t need to do what the West did to achieve success. History has not ended yet. The impact of this on Africa is beyond what you can imagine.” [82]

Following China, the former prime minister of Ethiopia, Meles Zanawi, established a Five-Year Plan for Ethiopia. The organization and structure of the ruling party, the Ethiopian People’s Revolutionary Democratic Front (EPRDF), also bore a striking resemblance to the CCP regime. An anonymous source within the Chinese Foreign Ministry said that many high-level officials in the EPRDP had gone to China to study and undergo training, and that the children of many important officials also went to China for their education. It was even more apparent at the ministerial level, where virtually every official was reading The Selected Writings of Mao Zedong. [83]

In March 2013, at the BRICS (Brazil, Russia, India, China, South Africa) summit, the Ethiopian prime minister stated that China was both a trading partner and a development model for Ethiopia. Today, Ethiopia is called Africa’s “New China.” Its internet monitoring and censorship, the totalitarian nature of its government, its media control, and the like are all cast in the same mold as China’s. [84]

Ethiopia is not the only example. In 2018, the International Department of the Central Committee of the CCP held the fourth China-Africa Young Leaders Forum and the second China-Latin America Political Parties Forum in Shenzhen, Guangdong. The training was targeted at leaders and government officials.

Yun Sun, co-director of the China Program at the Washington-based Stimson Center, said that this kind of political training was to export the Chinese model to developing countries. She said:

They organized this kind of political training with three objectives in mind. First, that the CCP’s regime is legitimate — it is attempting to tell the world how the CCP has successfully managed China and how this success could be replicated for developing countries. Second, the CCP seeks to promote the experience China had in its development, during the so-called “exchange of ideas on how to govern the country.” Although the CCP is not explicitly “exporting revolution,” it is certainly exporting its ideological approach. The third objective is to strengthen exchanges between China and Africa. [85]

From Chapter Eighteen
The Chinese Communist Party’s Global Ambitions

(141)Encroaching on America’s Backyard

Being geographically close to the United States, Latin America has historically been within America’s sphere of influence. Although there were a number of socialist regimes that appeared in Latin America when the tide of communism swept over the world during the mid-twentieth century, external influences never posed a threat to America.

After the collapse of the Soviet Union, the CCP began to target Latin America. Under the banner of “South to South cooperation,” it started engaging in an all-of-society infiltration of the region, penetrating into areas like economy, trade, military, diplomacy, culture, and the like. The governments of many Latin American countries, like Venezuela, Cuba, Ecuador, and Bolivia, were already hostile toward America, and the CCP made full use of this when it extended its tentacles across the ocean, further aggravating the tensions these nations had with America and heightening their anti-American stance.

On one hand, this would weaken the advantage the United States had in the region. On the other hand, the CCP could freely operate in America’s backyard, support the socialist regimes in Latin America, and thus lay the groundwork for long-term confrontation with the United States. It is no exaggeration to say that the CCP’s infiltration and influence in Latin America have far exceeded what the Soviet Union had achieved in the past.

First, the CCP used foreign trade and investment to expand its influence in Latin America. According to a report from the Brookings Institution, a U.S.-based think tank, in 2000, China’s trade with Latin America was only US$12 billion, but by 2013, it had ballooned to US$260 billion, an increase of more than twenty times. Prior to 2008, China’s loan commitments didn’t exceed US$1 billion, but in 2010, it had increased to US$37 billion. [86] From 2005 to 2016, China pledged to loan US$141 billion to Latin American countries. Today, the loans from China have exceeded those from the World Bank and the Inter-American Development Bank combined. The CCP has also promised that it would provide Latin America with US$250 billion of direct investment by 2025 and that bilateral trade between China and Latin America would reach US$500 billion. Latin America is currently China’s second-largest investment target, directly after Asia.

For many South American countries, China has dominated foreign trade. The three biggest economies in Latin America — Brazil, Chile, and Peru — have China as their top trading partner. China is the second-largest for Argentina, Costa Rica, and Cuba. With highway construction in Ecuador, port projects in Panama, and a planned fiber-optic cable running from Chile to China, China’s influence throughout Latin America is evident. [87]

All the while, the CCP has deployed its state companies to turn Latin America into its resource base, with examples being Baosteel’s vast investment in Brazil, and the control Shougang has over the iron mines in Peru. The CCP has also shown great interest in Ecuador’s oil and Venezuela’s fuel oil and gold mines.

The CCP also invests heavily in Latin American infrastructure. In Argentina, the CCP has promised to invest US$25 million in ports that transport food, and to invest US$250 million in highways linking Argentina to Chile. [88]

In the military domain, the CCP has been stepping up its infiltration of Latin America in both scope and depth. A researcher from the U.S.-China Economic and Security Review Commission, Jordan Wilson, found that the CCP has progressed from low-level military sales before 2000 to high-end military sales, reaching US$100 million in exports by 2010. Especially after 2004, military exports from the CCP to Latin America have been increasing substantially. The recipients of these arms sales were all anti-U.S. regimes, such as Venezuela. At the same time, there has also been an increase in military engagement such as education and training exchanges and joint military exercises. [89]

At the China-Argentina bilateral summit held in Beijing in 2015, if the agreements between both countries were finalized, they would mark a new phase of military cooperation between the two countries. This included the joint production of advanced, high-end products, including the establishment of the CCP’s first space-tracking and control station in the southern hemisphere within the borders of Argentina. It also included the sale of Chinese-made fighter aircraft to Argentina, with the total value amounting to between US$500 million and US$1 billion, exceeding the CCP’s total arms exports of US$130 million in 2014 across the Latin American region.

The CCP is rapidly developing ties with Latin America across diplomatic, economic, cultural, and military dimensions. In 2015, new requirements outlined in a defense white paper by the CCP “specifically assign the PLA [the People’s Liberation Army, the CCP’s military] to ‘actively participate in both regional and international security cooperation and effectively secure China’s overseas interests.’” [90]

On the diplomatic front, due to the CCP’s incentives and threats, Panama, Dominica, and El Salvador have chosen to sever diplomatic ties with the Republic of China (Taiwan) and instead embrace the communist People’s Republic of China. In June 2017, Panama announced that it had established relations with the PRC and ceased diplomatic relations with Taiwan, which had lasted over a century. Three years ago, the CCP started actively planning to invest in Panama’s infrastructure, such as ports, railways, and highways, with the total amount of investment reaching TWD$760 billion (about US$24 billion). [91] China has already acquired control over both ends of the Panama Canal, which is of great international strategic importance.

The CCP has also invested close to US$30 billion in El Salvador’s La Union port. In July 2018, the U.S. Ambassador to El Salvador, Jean Manes, warned in El Salvador’s El Diario De Hoy (Newspaper of Today) that Chinese investment in La Union had a military objective and deserved close attention. [92]

On the cultural front, the CCP has established thirty-nine Confucius Institutes and eleven Confucius Classrooms in Latin America and the Caribbean, with total enrollment exceeding 50,000. [93] Confucius Institutes have been identified as institutions used by the CCP for spying, as well as transmitting Party culture and the ideology of the CCP under the guise of traditional Chinese culture.

The expansion and infiltration of the CCP regime in Latin America is a serious threat to the United States. By using access to the Chinese market, dependence on economic investment and military aid to sway the policies of Latin American governments, China is able to pull them into its own sphere of influence and pit them against the United States. The canals, ports, railways, and communications facilities the CCP builds are all important tools that will be used in the future for expanding and establishing its global hegemony.

From Chapter Eighteen
The Chinese Communist Party’s Global Ambitions

(142)Communist China’s Military Ambitions

At the 2018 Zhuhai Airshow in China, the debut of the CH-7 Rainbow drone caught the attention of military experts. The Rainbow series signifies that China has caught up in the technology for developing armed drones. A large number of CH-4 Rainbows have taken over the military markets of Jordan, Iraq, Turkmenistan, and Pakistan, countries that were restricted from purchasing armed drones from the United States. [94] The latest CH-7 Rainbow, in some ways, is as well-equipped as X-47B, the best the United States has to offer. An observer noticed that the latest CH-7 was revealed at the 2018 Airshow in China before it was tested by the PLA. [95] The video played at the airshow simulated the drones combating the enemy, which was clearly the U.S. military. [96] All of these moves clearly show China’s ambition to challenge the U.S. hegemony.

In recent years, as China’s military power became more developed, its ambition couldn’t stay unnoticed. Chinese vessels followed and harassed a U.S. surveillance ship (USNS Impeccable) in the South China Sea while it was conducting routine operations in international waters [97].

A similar incident took place later in Yellow Sea international waters. The Chinese vessels repeatedly came close to the USNS Victorious. They came within 30 yards of the U.S. ship, forcing it to make a dangerous sudden stop. [98] The most recent incident happened in September 2018, when a Chinese warship conducted aggressive maneuvers warning the USS Decatur to depart the area. The Chinese ship approached within 45 yards of the bow of the American vessel, forcing the Decatur to maneuver to prevent a collision. [99]

The CCP regime revealed its military ambitions long ago. Its strategy is to move from being a land power to being a maritime superpower and eventually establishing hegemony on both land and sea. In 1980, Beijing’s strategy was to perform active defense, and its focus was mainly on defending its own borders. At the time, its main adversary was the Soviet Army. In 2013, Beijing’s frontline defense turned into active offense for the purpose of expanding its frontline. It proposed “strategic offense as an important type of active defense.” [100]

In 2015, a Chinese military theorist and author of Unrestricted Warfare: China’s Master Plan to Destroy America made the following statements: “One Belt, One Road policy requires the army to have expeditionary ability.” “The Chinese land forces must take a flying leap and revolutionize itself.” “The national interests that come with One Belt, One Road are an enormous incentive for the Chinese army to reform.” [101] All this fuels Beijing’s aim to become a land-based superpower.

The U.S. Department of Defense said in its Annual Report to Congress in 2018:

China’s maritime emphasis and attention to missions guarding its overseas interests have increasingly propelled the PLA beyond China’s borders and its immediate periphery. The PLAN’s [the Chinese navy] evolving focus — from “offshore waters defense” to a mix of “offshore waters defense” and “open seas protection” — reflects the high command’s expanding interest in a wider operational reach. China’s military strategy and ongoing PLA reform reflect the abandonment of its historically land-centric mentality. Similarly, doctrinal references to “forward edge defense” that would move potential conflicts far from China’s territory suggest PLA strategists envision an increasingly global role. [102]

China’s goal is to first break through the boundaries of the first island chain and head to the open waters of the Pacific and Indian oceans. The first island chain stretches from the Kuril Islands in the north to the islands of Taiwan and Borneo in the south. The chain surrounds the Yellow Sea, the East China Sea, and the western Pacific Ocean.

The purpose of China’s expansion in the South China Sea was to break through the first island chain. China built islands and militarized reef islets in the South China Sea. It equipped them with airports, shore-based aircraft, and missiles. Currently three strategically important islets in the South China Sea, namely Fiery Cross Reef, Subi Reef, and Mischief Reef, have been fortified with anti-ship cruise missiles, surface-to-air missiles, and airfields. The islands have essentially formed stationary aircraft carriers that can be used in the event of military conflict. At the strategic level, the Chinese navy is capable of breaking through the boundaries of the first island chain and has the capability to fight in the open ocean.

Steve Bannon, former White House chief strategist, said on several occasions that the United States is headed for military conflict with China. “We’re going to war in the South China Sea in five to ten years,” he said in March 2016. “There’s no doubt about that.” [103]

Lawrence Sellin, former American colonel and military commentator, believes that “China is now attempting to extend its international influence beyond the South China Sea by linking to a similar framework for dominance in the northern Indian Ocean. If permitted to complete the link, China could be in an unassailable position to exert authority over roughly one-half of the global GDP.” [104]

The dominance of the South China Sea isn’t an issue of territory, but of global strategy. Each year, close to US$5 trillion in merchandise moves through the South China Sea. [105] For China, its Maritime Silk Road begins with the South China Sea, and an estimated 80 percent of its oil imports are projected to travel via the region. [106] Peacekeeping in the South China Sea following World War II fell to the United States and its allies. This poses a big threat to the Chinese regime, which is preparing to go to war with the United States and deems the South China Sea a key area for its economic growth and military expansion.

Taylor Fravel, the Arthur and Ruth Sloan Professor of Political Science at the Massachusetts Institute of Technology (MIT), pointed out an interesting fact after figuring out how China has solved it territorial disputes in history. Since 1949, China has engaged in twenty-three territorial disputes with its neighbors. It settled seventeen of these disputes. In fifteen of these settlements, Beijing offered substantial compromises on the allocation of disputed territory. But when it comes to issues in the South China Sea, since the 1950s, even when the Chinese navy was militarily insignificant, it has taken an uncompromising approach and has claimed indisputable sovereignty over the region. China has never used such absolute language to other land disputes. [107]

Apparently, “fighting every inch” isn’t how China solves its border conflicts. Professor M. Taylor Fravel listed several reasons for China’s strong stand on South China Sea (SCS) issues. “China views offshore islands such as the Spratlys as strategic. From these islands, China can claim jurisdiction over adjacent waters that might contain significant natural resources and even jurisdiction over some activities of foreign naval vessels,” he said. “South China Sea outcrops can also be developed into forward outposts for projecting military power.” “They might also aid China’s submarine force by preventing other states from tracking Chinese submarines that seek to enter the Western Pacific from the South China Sea.” [108]

The Chinese regime’s aggressive and expansionary actions in the South China Sea, especially the steps it has taken in recent years to change the status quo, have heightened military tensions in the greater region. Japan has reversed a decade of declining military expenditures, while India has revived its stalled plans for naval modernization. [109]

Masking its efforts with the excuse of safe passage for energy and freight, China’s active expansion in the South China Sea has tipped the balance of power in the region and increases the possibility of military conflict. One expert pointed out that “Chinese perception of the SCS as a security concern has led to an erosion of security in the region.” [110] This standpoint echoes that of Bannon.

In 2017, the Chinese military established its first overseas military base in Djibouti. Western scholars believe that Chinese military officials are looking beyond the Western Pacific Region and considering how to project power ever farther abroad. [111] For example, the CCP has recently been active in the Pacific Island countries, regardless of costly investments. Its long-term goal is that in the future, these island countries serve as supply stations for the PLAN’s blue-water fleet. [112] The military expansion of the CCP is not limited to the traditional divisions of land, sea, and air; it is also making advances into the realms of space and electromagnetic warfare.

The CCP’s military ambitions are backed by vast reserves of manpower, equipment, and funding.

The CCP regime maintains the largest regular army in the world, with two million active military personnel. The People’s Liberation Army also has the largest ground force in the world, the largest number of warships, the third-most naval tonnage, and a massive air force. It has a trinity nuclear strike capability consisting of intercontinental ballistic missiles, ballistic-missile submarines, and strategic bombers.

The Chinese regime also has 1.7 million armed police personnel, which are under the unified leadership of the CCP Central Military Commission, and a large number of reserve and militia units. The Party’s military doctrine has always stressed the importance of “people’s war.” Under the CCP’s totalitarian system, it can quickly impress all available resources to military use. This means that the CCP has a pool of over a billion people (including overseas Chinese) from which it can draft huge numbers of people into militia service.

China’s GDP increased rapidly between 1997 and 2007. The CCP relies on economic power to rapidly expand armaments production and upgrade its arsenal. It is estimated that by 2020, the PLA ground forces will have five thousand modern main battle tanks. The PLAN will have at least two aircraft carriers in its fleet. Ninety percent of PLA Air Force fighters are of the fourth generation, and China has begun to introduce fifth-generation fighters.

In early 2017, China announced a 6.5 percent inflation-adjusted increase in its annual military budget to US$154.3 billion. Analysis of data from 2008 through 2017 indicates China’s official military budget grew at an annual average of 8 percent in inflation-adjusted terms over that period. [113] Observers estimate that the actual military spending of the CCP is twice as much as what is officially acknowledged. Aside from this, the military strength of the regime is not fully reflected in military spending because its actual military expenditure is higher than the public figures, and the CCP can requisition many civilian resources and manpower at its discretion. The entire industrial system can serve the needs of war, which means its true military capabilities far exceed official data and the usual estimates.

The CCP will build a global system consisting of more than thirty Beidou (Big Dipper) navigation satellites by the end of 2020, with global GPS military positioning capabilities. The mass production of the Rainbow series of military drones serves more tactical considerations for the CCP. For example, in the Taiwan Strait layout, the CCP may gain advantages through its unmanned aircraft machine-sea tactics. [114] A large number of aerial drones can form clusters under the control of satellites and artificial intelligence, making them useful in regional and asymmetrical conflicts.

The stealth fighter Chinese J-20, which was unveiled at the Zhuhai Air Show, resembles the American F-22, while the Chinese J-31 appears modeled on the F-35. The PLA is closing the gap with the United States in the development of modern jet fighters.

In addition, the CCP uses a broad range of espionage to catch up with the United States in technology. According to some recent estimates, more than 90 percent of espionage against the United States conducted via hacking comes from China, and the CCP’s networks infiltrate large American companies and the military, stealing technology and knowledge that the Chinese cannot develop independently. [115] China’s drone technology was stolen from the United States.

In terms of tactics, the PLA is keen on asymmetric capabilities: asymmetric warfare, asymmetric strategy, and asymmetric weapons. [116] Adm. Philip S. Davidson, the new commander of the Indo-Pacific Command, described China as a “peer competitor.” He said that China is not trying to match America’s firepower at a one-to-one ratio; rather, it is trying catch up with the United States by building critical asymmetric capabilities, including the use of anti-ship missiles and capabilities in submarine warfare. He warned that “there is no guarantee that the United States would win a future conflict with China.” [117]

The CCP relied on its research and development of Dongfeng 21D missiles (anti-ship ballistic missiles for use against U.S. aircraft carriers) to conduct similar sniper-mode confrontation. In 2018, the CCP publicly exhibited the land-based Eagle-Attack-12B supersonic anti-ship missile, known as the “aircraft carrier killer.” It has drawn a 550-kilometer “death zone” in the western Pacific, in which American carrier battle groups will be susceptible to ultra low-altitude saturation strikes. These missiles become an important military means of the PLA’s regional denial operations aimed at preventing U.S. military intervention.

Following the rapid expansion of its military power, the CCP regime has become a huge weapons exporter to the world’s authoritarian regimes, such as North Korea and the rogue regimes of the Middle East. On the one hand, the goal is to expand its military alliances, and on the other hand, to disperse and counter U.S. military power. The CCP regime spreads and encourages anti-American sentiment and hatred. It is easy for the CCP to unite with other anti-American regimes to further its hegemonic ambitions.

At the same time, the CCP leadership advocates terrorist military theories such as the aforementioned unrestricted warfare. It advocates the necessity of war by saying that “war is not far from us, it is the birthplace of the Chinese century.” It legitimizes violence and terror with words such as “The dead are the driving force for the advancement of history.” It justifies aggression: “There is no right to development without the right to war,” and “the development of one country poses a threat to another — this is the general rule of world history.” [118]

Zhu Chenghu, dean of the Defense College of the National Defense University of the People’s Republic of China, publicly stated that if the United States intervenes in a war in the Taiwan Strait, China will preemptively use nuclear weapons to raze hundreds of cities in the United States, even if all of China to the east of Xi’an (a city located at the western edge of China’s traditional boundaries) were destroyed as a consequence. [119] Zhu’s statements were a public display of the CCP’s ambitions and a means of probing reactions by the international community.

It is important to be aware of the fact that the CCP’s military strategies are always subordinate to its political needs, and that the regime’s military ambitions are only a small part of its overall schemes. The Party’s approach is to rely on both economic and military means to impose its communist ideology on the rest of the world. [120]

From Chapter Eighteen
The Chinese Communist Party’s Global Ambitions

CCP Military Parade
CCP unveiled CH-7 Stealth Combat Drone

(143)Unrestricted warfare – breaking all conventional rules and moral restraints

In the process of realizing its global ambitions, the CCP recognizes no moral limitations and obeys no laws. As discussed in the Nine Commentaries on the Communist Party, the history of the CCP’s founding is a process of gradually perfecting the evilness found through history, both in China and around the world, including the Party’s nine inherited traits: “evil, deceit, incitement, unleashing the scum of society, espionage, robbery, fighting, elimination, and control.”[1] These traits are seen everywhere through the CCP’s process of global expansion, and the Party has continually enhanced and strengthened its techniques and their malignancy. The CCP’s “unrestricted warfare” is a concentrated expression of these evil traits and an important part of its success.

The idea of unrestricted warfare has always run through the CCP’s military practices. In 1999, two Chinese colonels officially used the term “unrestricted warfare” in their theoretical military work. As the name implies, unrestricted warfare has these characteristics: “a war beyond all boundaries and limits,” “forcing the enemy to accept one’s own interests by all means, including methods of force and non-force, military and non-military, killing and non-killing.” “The means are all-inclusive, information is omnipresent, the battlefield is everywhere” — “beyond all political, historical, cultural, and moral restraints.”[2]

Unrestricted warfare means that “all weapons and technologies can be used at will; it means that all the boundaries between the worlds of war and non-war, military and non-military are broken.” It utilizes methods that span nations and any particular sphere of activity. Finance, trade, the media, international law, outer space, and more are all potential battlefields. Weapons include hacking, terrorism, biochemical warfare, ecological warfare, atomic warfare, electronic warfare, drugs, intelligence, smuggling, psychological warfare, ideology, sanctions, and so on.[3]
The authors of Unrestricted Warfare believe that “the generalization of war” is the inevitable direction of the future and that every field must be militarized. They believe that a large number of nonmilitary personnel who do not wear military uniforms are the key to unrestricted warfare. The government must quickly prepare for combat in all invisible fields of war.[4]

Many people refer to various professional or social environments as “battlefields” by way of metaphor, but for the CCP, it means war in a very real sense. All fields are battlefields because the CCP is in a state of war at all times, and everyone is a combatant. All conflicts are regarded as struggles of life and death. Slight problems are magnified to be questions of principle or ideology, and the whole country is mobilized as if in war to meet the CCP’s goals.

In the 1940s, during the Chinese Civil War, the CCP used economic warfare to harm the economy of the Nationalist government (Kuomintang) of the Republic of China and make it collapse. The Party used espionage to obtain the Kuomintang’s military plans even before the KMT’s own troops received them, and used numerous conspiracies while communist armies fought on the battlefield. The CCP still uses these unrestricted means today, yet on an even larger and broader scale. Unrestricted warfare means breaking all conventional rules and moral restraints. This leaves most Westerners, Western governments, and companies unable to understand how the CCP acts, much less compete with it.

The CCP implements unrestricted warfare in numerous fields, using many seemingly mundane means to achieve its goals:
Exporting Party culture and lies to the world through foreign propaganda
Controlling global media and carrying out ideological unrestricted warfare
Using fame, honey traps, human relationships, bribery, and despotic power to unite the leaders of the United Nations, important political figures of various countries, experts in think tanks and academic circles, tycoons, and influential people from all walks of life to cultivate friendships to support the CCP and help it through crises
Supporting, inciting, and allying with rogue regimes to distract the United States and Western governments
Using trade diplomacy to make free countries compete against one another, with the market of more than one billion Chinese as bait
Deepening economic integration and interdependency to tie up other countries
Violating WTO trade rules
Making false reform commitments to accumulate trade surplus and foreign exchange reserves
Using the fruits of capitalism to fatten the body of socialism
Using the market, foreign exchange, and financial resources as weapons to suppress human rights through economic unrestricted warfare and to force other countries to abandon moral responsibility and universal values
Forcing Chinese working abroad in private enterprises to steal information from developed countries
Making hostages of China’s citizens and those of other countries

From Chapter Eighteen
The Chinese Communist Party’s Global Ambitions

Violating WTO rules
Hacking and Stealing

(144)Promoting Party Culture Worldwide

When a branch of China’s state-run broadcaster was established in London, nearly six thousand people applied for ninety positions that required reporting news from China’s perspective. The CCP encountered an enviable problem: too many applicants.[5] People’s eagerness to work for the CCP’s mouthpiece reflects the decline of the Western media industry and the threat that the CCP’s foreign propaganda poses to the world.

The World’s Largest Propaganda Machine

Mao Zedong once demanded that Xinhua News Agency “control the earth and let the whole world hear our voices.”[6] The CCP is now able to achieve what it could not achieve in the past.

After the 2008 financial crisis, Western media faced their own financial and business crises. The CCP seized the opportunity to deploy its “great external propaganda” campaign. The People’s Daily, China Daily, Xinhua News Agency, China Central Television (CCTV), China Radio International (CRI), and other CCP mouthpieces set up newspaper boxes, radio stations, and television stations around the world.

Chang Ping, former news director of the major Chinese newspaper Southern Weekend, said that since 2009, the Chinese regime allocated 45 billion yuan (US$6.52 billion) to the “national strategy for external propaganda in public relations and publicity.” According to Chinese media sources, the 45 billion yuan was only a small part of the total expenditure that had been publicized.[7] BBC estimated in 2016 that the CCP spends $10 billion a year on propaganda.[8] In March 2018, the CCP integrated CCTV, CRI, and China National Radio to establish the China Media Group, also called Voice of China, led by the Propaganda Department of the Central Committee of the Communist Party of China. It has become the largest propaganda machine in the world.

Xinhua rented a giant billboard in Times Square in New York City to advertise the Communist Party. In 2016, the CCP changed the name of CCTV overseas to CGTN (China Global Television Network).

The CCP’s foreign propaganda attempts to advance with the times. Overseas stations implement a localization strategy, recruiting mainly local reporters and presenters. A photo of Xi Jinping’s video interview with CCTV stationed in the United States shows that 90 percent of the journalists are not Chinese.[9] The content of the programs is transferred from China to foreign countries, and the reporters are hired locally. China’s state-run media thus produces local packaging in the target country — using local faces and voices, but spouting the Communist Party’s thinking and conflating the CCP with China. It uses locals abroad to spread the CCP’s stories and the CCP’s voice — not China’s true stories and not the voice of the Chinese people.

This is the character of the CCP’s external propaganda push. The CCP also provides scholarships to younger generations of international journalists, including in the areas of food and education, so they can get trained or study in China, and at the same time be instilled with the CCP’s view of journalism.

Along with the economic colonization of Africa, CCP media has also reached all corners of Africa. The China-based television and media group StarTimes Media Group is now operating in thirty countries on the African continent and claims to be “the fastest growing and most influential digital TV operator in Africa.” A taxi driver in Uganda said, “More and more Africans understand Chinese society by watching contemporary Chinese TV dramas.”[10]

CCP propaganda has largely been unsuccessful due to a lack of credibility. However, making foreign media the spokesperson of the CCP’s media, ruthlessly attacking the media and individuals who criticize the CCP, and forcing everyone to support the CCP are all part of the recipe of the CCP’s external propaganda campaign.

Turning Media All Over the World Into Xinhua News Agency

In 2015, the foreign ministers of ten countries condemned the CCP for building artificial islands in the controversial South China Sea. At this time, a radio station in the Western suburbs of Washington, D.C., sounded a different note. Not only did it not mention the CCP’s reclamation activities, but it claimed that external forces had attempted to fabricate the facts and aggravate tensions in the South China Sea.[11] This station, called WCRW, voices a great deal of content expressing the position of the CCP — and curiously, it runs no advertising. Its only customer is a Los Angeles company, G&E Studio Inc., itself 60 percent controlled by China Radio International (CRI) in Beijing. G&E has at least fifteen similar stations running in the United States, covering not only Washington, D.C., but also Los Angeles, Salt Lake City, Atlanta, Philadelphia, Houston, Honolulu, Portland, and Vancouver, among others.
The Chinese Communist Party’s mouthpiece, China Radio International (CRI), relies on a local company registered under the name of a Chinese-American. With controlling shares, it uses local U.S. radio stations to promote CCP propaganda. The biggest benefit of this operation, and the apparent reason for it, is to conceal the role of the CCP. In order to maximally mislead the audience, listeners are made to feel that Americans themselves are expressing their support for the CCP.

In 2015, CRI ran thirty-three such stations in at least fourteen countries. By 2018, CRI had fifty-eight stations in thirty-five countries.[12] Because the control and operations are carried out through the use of local Chinese companies, it seems that democratic countries are helpless to do anything about the situation legally, although many people are unhappy with the Party’s hidden propaganda. The CCP’s external propaganda push has taken advantage of the loopholes in democratic societies. In the name of democracy, the CCP advocates for dictatorship and attempts to manipulate the audience into adopting its views by exploiting loopholes in the laws of free societies. Thus, in the name of democracy, it aims at destroying democracy.

The China Daily‘s inserts, which in Chinese are summed up with the phrase “making a voyage on a borrowed ship,” are another important part of the CCP’s external propaganda campaign. China Daily publishes a Chinese news insert in The Washington Post and uses a layout style that can give readers the impression that it’s The Washington Post’s content.[13] In addition to The Washington Post, the CCP has struck similar deals with over thirty newspapers, including The New York Times, The Wall Street Journal, The Daily Telegraph, and Le Figaro. The word “advertising” on the insert is placed in an inconspicuous location, and readers can easily mistake the material for the newspapers’ own content.

On September 23, 2018, the China Daily also inserted four pages of advertisements that looked like ordinary news and commentary in the local Iowa newspaper Des Moines Register. The material attacked the U.S. president, and some called it an attempt to influence the midterm elections.[14]

The Communist Party excels in controlling overseas Chinese media. Through coercion and enticement, the CCP has recruited a large number of Chinese-language media, including some founded by Taiwanese with a previously strong tradition of anti-communism. The CCP-sponsored World Chinese Media Forum is used as a platform to communicate the party’s instructions to Chinese media around the world. On September 10, 2017, the Ninth World Chinese Media Forum was held in Fuzhou. More than 460 overseas Chinese media executives from over sixty countries and regions on five continents attended the meeting.

An example of the impact of this media-control work can be found in the reporting of a California-based Chinese-language media outlet that amplifies CCP propaganda in the Western press. During the CCP’s Nineteenth National Congress, this media outlet’s lengthy reports were almost identical to those published by official Party media.[15]

During the Umbrella Movement protests in Hong Kong in 2014, the Overseas Chinese Media Association controlled by the CCP, with more than 160 media members, urgently organized 142 pro-China media outlets in Asia, Europe, Africa, the United States, and Australia to publish the “Safeguarding Hong Kong Declaration” supporting the CCP’s perspective. The extent and efficacy of the regime’s media penetration overseas has surprised the outside world.[16]

Suppressing opposing voices is another aspect of CCP overseas propaganda operations. The Party threatens journalists who expose them with visa denials and other forms of harassment, leading them to self-censor. The result is that there are few global media corporations that take a completely independent stance on the CCP without regard to consequences imposed by the regime.

There are several ways a scoundrel might make others view him in a more positive light. One way would be to start from within, abandon evil, become good, and stop being a scoundrel. Other people would then over time naturally come to recognize the transformation. The second way would be to begin exerting pressure on others, trying to brainwash them into not recognizing the scoundrel for what he is. Finally, a scoundrel might even mount the most audacious plan, and attempt to use manipulation, lies, gaslighting, and brainwashing to turn everyone else into scoundrels too. This would offer the greatest protection.

The CCP has used both the second and third methods simultaneously over decades. It employs a variety of large-scale propaganda activities to target foreigners, changing the minds of people to make them think that the CCP is no scoundrel at all. In some cases it’s even able to pull them into the mire, turning them into scoundrels along with the Party. Through extensive investments and shrewd operations, the Party has now established a worldwide system for creating alliances, isolating enemies, and turning neutrals into sympathizers or scoundrels.
Brainwashing Through Culture, Literature, and Art

Cultural brainwashing is an important tool for the CCP’s destruction of traditional Chinese culture. In recent years, the Party has advertised its commitment to restoring traditional culture, but as discussed in previous chapters of this book, this wave of supposed restoration of traditional culture has in fact left out the soul of tradition, replacing it with a fake version infused with deviant Party culture. This has not only deceived the world, but has also further devastated traditional culture.

On top of that, in order to further influence the world, one of the key elements of the Party’s external propaganda is to export so-called traditional Chinese culture as defined by the CCP, and to use traditional Chinese customs and practices to whitewash the CCP. This is another form of perception manipulation, or brainwashing. A typical example of this project is the Confucius Institute.

According to incomplete statistics, as of the end of 2017, the CCP had established 525 Confucius Institutes (targeting colleges and universities) in 146 countries and opened 1,113 Confucius Classrooms (targeting elementary and secondary schools).[17] The Confucius Institute’s funds come from Hanban, which is affiliated with the CCP’s United Front Work Department. The use of funds is supervised by personnel from the CCP’s embassies and consulates. Confucius Institutes subvert important academic principles of autonomy and freedom of inquiry, aim to promote the CCP’s version of events, distort the history of China, and omit the CCP’s appalling human rights record. In some Confucius Institute classrooms, quotations of Mao Zedong are hung on the wall. On the surface, Confucius Institutes claim to teach Chinese culture, but in fact they promote communist doctrine and transmit Party culture.

In addition to offering cultural and language courses, Confucius Institutes also distort history and even organize protests against activities the CCP believes threaten its rule. For example, speakers have been invited who repeated CCP lies about Tibet. Others claimed the Korean War was triggered because the U.S.military bombed Chinese villages, and that the Party was forced to send troops.[18

The U.S. Government’s National Defense Authorization Act of 2019, adopted in 2018, includes a strongly worded condemnation of the CCP’s attempts to influence U.S. public opinion, especially “media, cultural institutions, businesses, and academic and political groups.” The Act explicitly prohibits any National Defense funds from being given to Chinese-language departments in U.S. universities where there is a Confucius Institute.[19]

From September to October 2011, Chinese authorities dispatched a song-and-dance troupe of three hundred performers to the Kennedy Center for the Arts in Washington, D.C., where the CCP staged its violent communist dance-drama Red Detachment of Women. In September 2016, in Los Angeles, a high-profile concert was held to commemorate the eightieth anniversary of the victory of the Red Army’s Long March. At the same time, in Australia, the performance Red Songs Concert to Commemorate the 40th Anniversary of Mao Zedong’s Death was held at the Sydney and Melbourne city halls. Local Chinese organizations in Australia protested and were finally able to stop the show. In 2017, the CCP sent the Red Detachment of Women performance to Australia, and in 2018, staged another violent communist dance-drama, Red Guards on Honghu Lake, in Sydney and Melbourne.

When it comes to information warfare, the CCP’s totalitarian regime occupies the high ground compared to democratic regimes: The Party blocks media from all democratic countries, but is able to insert its state-run media in democratic societies. The CCP prevents media from democratic countries from adding inserts to its media, but the CCP can insert its own content into the media from democratic societies, or it simply acquires them when convenient. CCP media serve the Party first and foremost, and Western journalists will never have executive roles. The CCP can, however, send its own undercover people into Western media or train foreigners into being mouthpiece reporters for the Party’s media. As long as the West still regards the CCP media as legitimate, the West will continue to lose in the information war. In 2018, the U.S. Department of Justice ordered Xinhua News Agency and China Global TV Network to register as foreign agents in the United States. It was a correct step, but is still far from sufficient — the problem is the lack of reciprocity in the first place.

The CCP’s foreign propaganda campaign is a major project aimed at globally reshaping the public’s views on the regime, and has met with some results. The CCP spreads its noxious ideology through this propaganda work, and has severely mislead people about the regime, its mode of operations, China’s human rights situation, and views on communism in general.

From Chapter Eighteen
The Chinese Communist Party’s Global Ambitions

Controlling media world wide
Cultural Infiltrations
Propaganda: Red Detachment of Women

(145)United Front, CCP’s “Magic Treasure”

On December 18, 2018, the CCP celebrated the fortieth anniversary of so-called reform and opening-up. It awarded the China Reform Friendship Medal to ten foreigners in an attempt to “thank the international community for supporting China’s reform.” These ten foreigners included Juan Antonio Samaranch, former president of the IOC, which granted China the right to host the 2008 Summer Olympics; and Robert Lawrence Kuhn, an American businessman who lent his name as author of a fawning biography of the former head of the CCP, Jiang Zemin. In fact, over the past few decades, countless politicians and celebrities have helped the CCP by playing different roles, depending on their motivations. Unfortunately, all have become victims of the CCP’s united-front tactics and thus accomplices.

In order to advance its goal of ultimately dominating the world, the CCP adopts any means necessary. This is a key part of the “united front” concept. Mao labeled the united front as one of the CCP’s “three magic treasures.” The civil war-era Kuomintang government was deceived by these tactics and suffered great losses as a result.. Today’s Western governments have also been deceived and suffered losses. The good news is that Western society is beginning to wake up, and a number of investigative reports about the united front have recently been published.

The U.S.-China Economic and Security Review Commission (USCC), a Congressional commission, issued a report titled China’s Overseas United Front Work on Aug. 24, 2018, outlining the CCP’s overseas united front work structure and operations, including how the CCP uses various types of governmental and non-governmental organizations for its united-front work and what the implications have been to the United States and other Western countries. In recent years, the CCP has emphasized the importance of its united front work. The report states, “This elevation of the importance of United Front work has resulted in an increased number of UFWD officials assigned to top CCP and government posts, adding roughly 40,000 new UFWD cadres.”[20]

Global Public Policy Institute (GPPI), a think tank in Europe, published a report in 2018 detailing the activities of CCP’s united front in Europe.[21] On Nov. 29, 2018, the Hoover Institution at Stanford University also released a detailed report on the same topic. The report states: “China’s influence activities have moved beyond their traditional United Front focus on diaspora communities to target a far broader range of sectors in Western societies, ranging from think tanks, universities, and media to state, local, and national government institutions. China seeks to promote views sympathetic to the Chinese Government, policies, society, and culture; suppress alternative views; and co-opt key American players to support China’s foreign policy goals and economic interests.”[22]

The CCP’s united front primarily targets the following actors in the West:

Bribing Politicians and Businesspeople

The USCC report says the CCP regards its united front work as an important tool to strengthen domestic and international support for the Party. This includes buying off Western politicians. Through persuasion, temptation, and relationship-building, the CCP maintains close ties with many high-level officials in Western governments. These politicians are treated as the PRC’s “state treasures,” given lavish gifts, and conferred titles such as “old friends of China.” Among them are current and former United Nations secretary generals, heads of states, high-ranking government officials, members of Congress, senior government advisers, heads of international organizations, famous academics and think-tank scholars, and media consortium tycoons. All these people in the united front network are expected to voice their support for the CCP at crucial moments.

Patrick Ho Chi-ping, a former Hong Kong secretary for Home Affairs, was indicted in the United States for bribery in December 2018. Ho had close ties to the CCP, and bribed high-ranking officials in two African nations on behalf of Chinese energy corporations in order to obtain mining rights. Ho also bribed two U.N. secretary generals, through whom the CCP was able to establish close ties to high-ranking officials in other nations.[23]

U.S. court papers also document the corruption and espionage carried out by Chinese telecommunications giant ZTE. Two high-ranking telecom officials in Liberia testified that between 2005 and 2007, ZTE heavily bribed numerous officials in that country, including the president, government officials, and judges.

The CCP uses money and women to entrap political leaders and then use them as pawns for the regime’s ends. In a memorandum following the November 2014 midterm U.S. elections, CEFC, a CCP-linked company, outlined a plan to establish relationships and friendships with politicians. Ye Jianming, the now-disgraced chairman of CEFC China Energy Company Limited, has strong ties with European political leaders. He once asked a security advisor for a U.S. president whether he could persuade the U.S. army not to bomb Syria because he wanted to buy up oil fields there. Ye also boasted connections to senior officials at the Federal Reserve and the United Nations, as well as family members of U.S. government officials.[24]

When deemed necessary, the CCP can form various temporary united fronts to isolate its enemies. For instance, the CCP has used the votes of developing nations whose officials it previously suborned to pass or block motions at the United Nations. Via proxies, it has disrupted U.S. efforts to stabilize the Middle East. In the meantime, it has been able to forge new economic alliances. In the recent U.S.-China trade war, the CCP sought to sow conflict between the United States and Europe with the aim of using the latter as part of another united front against the United States

Local politicians are also targets of the CCP’s united front work. These include community leaders, city council members, mayors, state senators, and others. The usual approach is to donate to local politicians through Chinese organizations or merchants, who are invited to visit China where they receive bribes. Their family businesses gets special treatment in China, and even their assistants are bribed. Cases of sexual entrapment, often involving blackmail, are known as “honey traps,” and the CCP is thought to use this tactic often.

Chen Yonglin, former officer at the Chinese Consulate in Sydney, who defected in 2005 to Australia, told The Epoch Times that the CCP’s United Front Work Department had infiltrated the Australian government and corrupted officials. Chen said: “The amount of private bribery for the officials far surpassed political donations. Especially those higher-ranking officials; the bribes were huge. … Another aspect of bribery is the all-expenses paid trips to China, where officials are treated as kings. This includes prostitution paid for by Chinese companies. Many officials changed their stances after returning from China.”[25]

With its strong financial backing, the CCP has paid communist and leftist politicians around the world to become its agents in those nations in order to further spread communist ideology.

The CCP uses the same tactics on those in the financial sector and a number of industries. Business people and entrepreneurs are treated as kings and given business incentives. In return, they become the CCP’s voice for lobbying the government and influencing the country’s financial and economic policies. In the U.S.-China trade war, the CCP has had frequent contact with Wall Street tycoons. Many top financial companies and international corporations do business in China. In order to expand their business there, they hired numerous children of high-ranking Chinese officials, called “princelings,” and the latter are the Party’s eyes, ears, and voice in such companies.
Infiltrating Academic Circles and Think Tanks
Many think tanks in the West directly shape the country’s policy and strategy toward China; therefore, the CCP pays special attention to them. The report by the Hoover Institute states that the CCP pays attention to perspectives of both political parties in the United States and creates topics that are beneficial to the CCP. The CCP exerts control over think tanks via financial sponsorship. It has bribed, controlled, or influenced almost all think tanks related to China.[26]

The Washington Post reports that some Chinese companies control American think tanks. For example, the Chinese tech giant Huawei not only poses a security threat to the United States, but also tries to influence think tanks in Washington, D.C., by providing them with financial support.[27]

Huawei also sponsors over twenty universities in the U.K., including Cambridge University and Oxford University. Professor Anthony Glees, a British expert in national security, said: “This is about the electronic agenda being driven by the injection of Chinese money into British universities. That is a national security issue.”[28] Huawei, through the Seeds for the Future program, attracted a large number of young talented engineers — a classic communist subversion tactic.

The CCP buys overseas scholars, especially China scholars, with money, status, and fame. Some such scholars then closely follow the CCP’s rhetoric, publishing books and articles to explain the CCP’s “peaceful rise,” the concepts of the “China dream” or the “China model.” The viewpoints of these scholars then indirectly influence the China policies of Western governments — precisely the CCP’s goal.

To make things worse, over the past several decades, Western humanities scholars and sociologists have been heavily influenced by strains of communist ideology. With a small amount of CCP influence, they can go from merely supporting leftist ideology to actually embracing communism.

Coercing and Using Overseas Chinese Leaders, Businessmen, and Students

The CCP has successfully exploited the patriotism of overseas Chinese students to create sympathy for CCP policies and ideology. To gain the support of overseas Chinese, the CCP provides them with financial support. It frequently uses the phrase “the love for one’s homeland, the friendship of kin” as part of its deliberate conflation of China and the CCP in order to deceive overseas Chinese. The Party also uses an extensive overseas network of organizations, supporters, and spies to marginalize and attack its opponents.

The CCP uses various pretexts to invite overseas Chinese to do business and invest in China. It gives overseas Chinese leaders special treatment when visiting the country, arranges overseas pro-CCP figures to meet with high-ranking officials, and has them all attend PRC national-day celebrations.

Zach Dorfman, senior fellow at Carnegie Council for Ethics in International Affairs, published a long investigative report in Politico revealing Chinese and Russian espionage activities in Silicon Valley, with particular focus on Chinese actors.[29] The report examined Rose Pak, the San Francisco Chinese powerbroker, as an example. It noted that the CCP used Pak to have the Chinese Chamber of Commerce in San Francisco marginalize Falun Gong, Tibetan, pro-Taiwanese, and Uyghur groups, preventing them from participating in the Chinese New Year parade.

The USCC report also exposed how Chinese Student and Scholar Associations (CSSA) are controlled by the CCP. On their own website, some CSSA branches directly state that they were established by the local Chinese consulate or are its subsidiaries,[30] while in other cases, the control is carried out clandestinely. These organizations receive orders from the Chinese consulates, preventing any dissonant voices from being aired. Consulate officials harass, intimidate, and monitor students who dissent from the CCP line.

CSSAs and those affiliated with them sometimes even conduct industrial and economic espionage. In 2005, France’s Le Monde reported that the CSSA at the University of Leuven, Belgium, was the CCP’s front-line spy group in the country. Sometimes such networks consist of several hundred spies working in various companies in Europe.[31]

Infiltrating and Influencing the Movie and Entertainment Industries

In recent years, the CCP has increased efforts at infiltrating the U.S. entertainment industry. In 2012, Wanda Group spent US$2.6 billion to acquire AMC, the second-largest theater chain in the United States. Since then, it has acquired Legendary Entertainment for $3.5 billion, and Carmike, the fourth-largest theater chain in the United States, for $1.1 billion.[32] In 2016, Ali Pictures acquired a stake in Steven Spielberg’s Amblin Partners, and will place a representative on the Amblin Partners board of directors to participate in major decision-making there.[33]

One of the CCP’s main goals in infiltrating the entertainment industry is to have the world follow the CCP’s script — painting a positive image of the CCP and China’s so-called peaceful rise to conceal the regime’s tyrannical ambitions. At the same time, this image covers up how the exportation of Party culture has corrupted the world. From 1997 to 2013, China invested in only twelve Hollywood films out of the top one hundred highest-grossing movies. But in the ensuing five years, China invested in forty-one of Hollywood’s most popular movies.[34]

Hollywood covets China’s rapidly growing movie market, and executives are well- aware that they’ll be excluded from it if they fail to toe the Party line. Thus, they set about ensuring they are in compliance with Chinese censorship.[35] American movie stars who’ve taken a stand on the CCP are blocked from entering the country, or their films are excluded from the Chinese market. Hollywood star Richard Gere’s clear expression of his position on Tibet, for instance, not only led to his being denied access to China, but also limited his own career even in the United States. In order not to offend or provoke the CCP, film producers have declined to invest in his films.[36] Other movie stars have been blacklisted for other transgressions.

Intimidating Overseas Dissidents

The CCP has used intimidation and incentives to influence Western scholars, especially China experts who are critical of the CCP. This has led many to willingly self-censor. Intimidation includes refusal to issue visas, which has the greatest impact on young scholars. For the sake of professional development, many voluntarily avoid human rights, Tibet issues, and other sensitive topics that might attract the Party’s ire.

Perry Link, a professor of East Asian Studies, was put on the blacklist for his scholarship on the Tiananmen Square massacre, which put the communist regime in an unfavorable light. His treatment subsequently turned into a lesson for young scholars as to what not to do.[37]

In October 2017, Benedict Rogers, deputy chairman of the British Conservative Party’s Human Rights Commission and supporter of the Hong Kong Democratic Movement, went to Hong Kong for personal activities but was refused entry and repatriated at the Hong Kong airport.[38]

The aforementioned report by the USCC also said that Chinese intelligence agents attempt to recruit ethnic minorities, including Uyghurs living abroad, to act as spies. Refusal may lead to persecution of their family in China. Uyghurs who have been threatened state that the purpose of such threats is not only to collect information about the Uyghur diaspora, but also to create discord and prevent them from effectively opposing the CCP.[39]

From Chapter Eighteen
The Chinese Communist Party’s Global Ambitions

Richard Gere’s clear expression of his position on Tibet, for instance, not only led to his being denied access to China, but also limited his own career even in the United States
Controlling Entertainment Industry

(146)Trapped by CCP:Small Gains for Huge Losses

If external foreign propaganda, perception-management, and united front work are the Party’s forms of soft power, then its high-tech industry must become the Party’s hard power. In the 1950s, the CCP’s slogan was to “surpass the United Kingdom and catch up with the United States” — but it was a farce. Today, however, the same strategy has become a legitimate threat.

Since the 1980s, the CCP has implemented a series of strategic plans in science and technology, including the 863 Program (the National High-Tech R&D Program), Program 973 (National Program on Key Basic Research Projects), and Made in China 2025 (to transform China from a manufacturing country to a manufacturing power by 2025, taking the lead in big data, 5G, and the like). The strategy includes ambitious plans for artificial intelligence, in which China aims to be a world leader by 2030. The purpose is to upgrade China’s status as the world factory to an advanced manufacturing giant, thereby attaining global supremacy.

It’s not wrong for a nation to pursue industrial development. For a country to use state power to allocate resources to research and development in key industries is also legitimate. Why, then, is the CCP’s high-tech development strategy a threat to the West?

The most fundamental reason is that China under the Chinese communist regime is not a normal country. The purpose of the regime’s technological development is not so it can join the ranks of the world’s other high-tech countries or compete on equal footing with them. Its purpose is to use any means to eliminate opponents and take down Western economies — especially that of the United States — and thus be one step closer to dominating the world. The CCP’s development of its scientific and technological strength is for serving its communist ideology, and ultimately for having communism rule the world.

Technological innovation is the fruit of individual liberty in a capitalist society, which is in natural conflict with the totalitarian rule of communism. Researchers in mainland China are deprived of the freedom to use foreign search engines, let alone express their freedom in other ways. Thus it’s indeed difficult to make real breakthroughs in scientific and technological innovation given the CCP’s restrictions on thought and access to information.

To make up for this, the Party has used various underhanded means to steal Western technology and win over cutting-edge talent, and has also used unfair and extraordinary measures to undermine Western industry. The CCP has stolen technologies the West has spent decades and vast sums of money to develop. It assimilates and improves upon the stolen intellectual properties and then simply mass-produces them at little cost and dumps the products on the world, debilitating private Western enterprises and economies. Thus, the regime has been using its techniques of unrestricted warfare in its technological competition with the West.
The Trap of Trading Technology for Market Access

In recent years, China’s high-speed rail network has become almost like a business card for the country’s high-end manufacturing prowess, and the idea of “high-speed rail diplomacy” has developed. Chinese state media has called China’s work in this area legendary, given the short developmental period of only around ten years. But to Western companies, China’s high-speed rail buildup has been a nightmare of technology theft, endless traps, and what ultimately became small gains for huge losses.

Work on China’s high-speed rail project began in the early 1990s. By the end of 2005, the authorities abandoned the idea of developing the technology independently and turned to Western technology. The CCP’s goal was clear from the beginning: It planned to first acquire the technology, then manufacture it, and finally sell the same technology more cheaply on the global market.

The Chinese side requires that foreign manufacturers sign a technology-transfer contract with a Chinese domestic firm before bidding on construction contracts, or else they’re not allowed to enter bids. The Chinese authorities also established formal internal assessments called “technology-transfer-implementation evaluations,” which focus not on how well foreign businesses teach their systems, but on how well domestic companies learn them. If domestic enterprises don’t learn the technology, China doesn’t pay. The authorities also required that by the last batch of orders, local companies must produce 70 percent of the orders.[40]

Because foreign companies felt China’s market was an opportunity not be missed, such terms didn’t prevent them from signing on. Japan’s Kawasaki Heavy Industries, France’s Alstom, Germany’s Siemens, and Canada’s Bombardier all submitted bids. Despite the promise of market access in exchange for technology transfer, no Western company was willing to transfer its core, most-valued technology. However, the CCP continued to play games with several of the companies in the hopes that at least one would relent and give up something of real value for the benefit of short-term interests. Sure enough, when it appeared that one company would get a chunk of the Chinese market in exchange for technology, the others began to fear being left out. Thus, several of them fell into the CCP’s trap, with the result that China was able to extract key technology from the above four high-speed rail companies.

The Chinese government has invested huge sums in the project, acting regardless of cost. China’s high-speed rail network subsequently entered a period of exponential development as Chinese firms built out the world’s most extensive high-speed rail system by mileage. In a few years, China rapidly assimilated Western technology, which was then turned into “independent intellectual property rights.” What really shocked Western companies was when China then began applying for high-speed rail patents abroad, with Chinese firms becoming fierce competitors against their former teachers on the international market. Because Chinese companies have accumulated a great deal of practical experience in this realm, and are afforded all the industrial advantages brought by large-scale production capacity and massive state financial backing, China’s high-speed rail industry possesses a competitive advantage against peers. It has become a key element of the Party’s One Belt, One Road project.

While foreign companies once dreamed of getting their share of the huge market for high-speed rail in China, they found instead that not only were they squeezed out of that market, but they also had created a tough international competitor. Yoshiyuki Kasai, an honorary chairman of the Central Japan Railway Company, said with distress: “The Shinkansen [Japanese bullet train] is the jewel of Japan. The technology transfer to China was a huge mistake.”[41]

The CCP itself acknowledges that China’s success in high-speed rail was achieved by standing on the shoulders of giants. Indeed, its purpose from the beginning was to slay all other giants. The CCP has an explicit dual purpose: Its short-term goal is to use economic achievements to prove the legitimacy of its regime and to make economic and technological progress to maintain and excite nationalist sentiment and propaganda. But its long-term purpose is to prove that its communist system is superior to the capitalist system, so it unscrupulously steals technology and turns the power of the entire country to competing with capitalist free enterprise.

China’s tactics of promising market access in exchange for technology, coercing tech transfers, absorbing and improving foreign technology, having its own firms practice in the domestic market before advancing to the world, and dumping products globally to undercut competitors, have led Western companies to suffer immensely. Now some are beginning to reflect. Others, however, are drawn like a moth to a flame and are still willing to do business with the CCP for their immediate benefits. The CCP’s ambitions to acquire Western technology have never abated, and the Made in China 2025 program is the embodiment of this ambition.

In 2015, the Chinese government proposed the ten-year Made in China 2025 project, envisioning that by 2025, China would have transformed from a big manufacturing country to a manufacturing power, and that by 2035, the country’s manufacturing industry would surpass that of industrially advanced countries like Germany and Japan. By 2049, the CCP hopes it will lead innovation in key manufacturing sectors as global leaders in key technologies and industries. Using lofty words, the CCP regime has raised the status of its manufacturing sector to “the foundation of the nation” and “the instrument for rejuvenating the country.”

From Chapter Eighteen
The Chinese Communist Party’s Global Ambitions

The CCP won the solar panel battles
The CCP tricked the West on High Speed Train technology as well

(147)A Manufacturing Superpower Built on Theft

How did China boost its manufacturing and innovative potential in such a short period of time? It used the same old tricks: First, it coerced companies to transfer their technologies, as in the case with high-speed rail. Many Western corporations are willing to provide technology in exchange for access to the Chinese market, training their future competitors at the same time. Second, China demands the companies form joint ventures with its own firms, and supports Chinese companies and universities in collaborating with high-tech companies, so they can acquire such technologies. Third, the regime encourages its domestic firms to make acquisitions of overseas high-tech companies, directly investing in startups with key technologies, and establishing overseas research-and-development centers. Fourth, it induces leading foreign tech and scientific research institutes to set up R&D centers in China. Fifth, it uses targeted policies to bring in foreign technology experts.

Many startups in Silicon Valley need capital. China uses taxpayer money to invest in them in order to get its hands on new technologies, including rocket engines, sensors for autonomous navy ships, and 3D printers that manufacture flexible screens that could be used in fighter-plane cockpits.[42] Ken Wilcox, chairman emeritus of Silicon Valley Bank, said in 2017 that within a six-month period, he was approached by three different Chinese state-owned enterprises about acting as their agent to buy technology on their behalf. Though he declined, he said: “In all three cases, they said they had a mandate from Beijing, and they had no idea what they wanted to buy. It was just any and all tech.”[43]

In November 2018, the United States Trade Representative (USTR) published the findings of a Section 301 investigation. The report says that Danhua Capital (currently Digital Horizon Capital) uses China’s venture capital to help the Chinese government gain top technologies and intellectual property in the United States.[44]

The above report by the U.S. government is open for the public to see. The killer weapon that China uses to realize its technological leap forward is the blatant theft of Western technology. China’s aptitude for industrial espionage far exceeds the scope of commercial spies in the past. In order to steal technology and secrets from the West, the regime mobilizes all available personnel and tactics — including espionage, hackers, international students, visiting scholars, Chinese and Taiwanese immigrants working in Western companies, and Westerners lured by monetary interests..

The CCP has always coveted the US F-35 stealth fighter jet. A Canadian permanent citizen, Su Bin from China, was sentenced to five years in prison for stealing F-35 secrets in 2016. Su worked with two hackers from the Chinese military, penetrating the computer systems of Lockheed Martin, the manufacturer, and exfiltrating secrets. The group also stole secrets related to the F-22 stealth fighter. Investigation found that Su’s group had also stolen secrets about Boeing’s C-17 strategic transport aircraft, and 630,000 files from Boeing’s system, totalling some 65 gigabytes of data.[45] The PLA’s own J-20 stealth fighter exhibited in recent years is now very similar to the American F-22, and the smaller Chinese FC-31 is an imitation of Lockheed’s F-35.

Dr. David Smith, a Duke University metamaterials expert, invented a kind of invisibility cloak, an important material for stealth fighters, and the U.S. military invested millions in support of his research. In 2006, Chinese student Liu Ruopeng came to Smith’s lab. In the view of an FBI counterintelligence official, Liu had a specific mission — to obtain the secrets. In 2007, Liu took two former colleagues traveling at Chinese government expense to Smith’s lab, and worked on the invisibility cloak for a period of time. To Smith’s surprise, the same laboratory was later duplicated in China.[46]

On December 20, 2018, the Department of Justice sued two Chinese citizens from the Chinese hacker organization APT 10, which has close ties with the CCP. According to the indictment, from 2006 to 2018, APT 10 carried out extensive hacking attacks, stealing massive amounts of information from more than forty-five organizations, including NASA and the Department of Energy. The information stolen involves medicines, biotechnology, finance, manufacturing, petroleum, and natural gas. The then-FBI Director Christopher Wray remarked: “China’s goal, simply put, is to replace the U.S. as the world’s leading superpower, and they’re using illegal methods to get there. They’re using an expanding set of non-traditional and illegal methods.”[47]

China’s theft of technology and patents is hard to combat and prevent. Kathleen Puckett, a former U.S. counterintelligence officer in San Francisco, said that China puts all its efforts into espionage and gets everything for free.[48]
China moralized, rationalized, normalized, and militarized its stealing spree. It launched a “war against everyone” to loot advanced technology from the West, using patriotism, racial sentiments, money, and prestige. Such appalling conduct is unprecedented historically.

Some have defended China’s activities by arguing that the theft can’t amount to all that much, since by stealing a bit here and there, Chinese firms don’t get the full picture of how technology is deployed and scaled. But it’s very dangerous to look at Chinese industrial espionage this way. Espionage in the electronic age is completely different from that in decades past, in which spies would take a few photos. China steals entire databases of technologies, and in many cases, scoops up not only the technology, but also the experts. With the power of the world factory that China has developed for decades and the R&D potential it has accumulated, the regime is truly able and willing to build a manufacturing superpower based on theft — and it is on course to do so.

From Chapter Eighteen
The Chinese Communist Party’s Global Ambitions

Superpower Built on Theft
Chinese students took top secret to China

(148)The Thousand Talents Program

From when China opened up in the 1970s until now, millions of Chinese students have studied overseas and have achieved great things. China seeks to recruit and use these talented individuals, invested in and trained by the West, to directly bring back to China the technology and economic information they’ve acquired. This aids the CCP’s ambitions in gaining global supremacy. Since 2008, multiple departments in China have initiated the Thousand Talents Program. On the surface, it’s about recruiting top Chinese talent overseas to return to China for full- or short-term positions. But the real goal behind the program is for state industry to get its hands on new technology and intellectual property from the West.

The FBI released a declassified document about these Chinese talent programs in September 2015. It concludes that recruiting target individuals can allow China to profit in three ways: gaining access to research and expertise in cutting-edge technology, benefiting from years of scientific research conducted in the United States and supported by U.S. government grants and private funding, and severely impacting the U.S. economy.[49]

The National Institute of Health released a report on the Chinese talent programs on December 13, 2018, noting that foreign nationals transferred U.S. intellectual property to their native countries while on the U.S. government payroll. Their actions have unfairly impacted all
U.S. academic institutions.[50] M. Roy Wilson, one of the authors of the report and co-chair of the NIH Advisory Committee, said that a key qualification of becoming part of the Thousand Talents Program is having access to valuable intellectual property. He said that the problem was significant, not random, and that the severity of the intellectual property losses was impossible to ignore.[51]

Peter Harrell, adjunct senior fellow in the energy, economics, and security program at the Center for a New American Security, said: “China is pursuing a whole-of-society approach to its technological capabilities. That includes purchasing innovative companies through overseas investments, requiring Western companies to transfer cutting-edge technologies to China as a condition of market access, providing vast state resources to finance domestic technological development, financing training for top Chinese students and researchers overseas, and paying a hefty premium to attract talent back to China.”[52]

The Thousand Talents Program includes as its targets almost all Chinese students who have come to the United States since the 1980s and who find themselves with access to useful information for the regime’s industrial, technological, and economic development — potentially tens of thousands of individuals. The CCP is mobilizing the capacity of the entire country and population to conduct unrestricted warfare in its recruitment of talent and intellectual properties.

From Chapter Eighteen
The Chinese Communist Party’s Global Ambitions

(149)Western companies have lost before the game has even begun

In addition to outright stealing, China’s state support and subsidies are also an important means for the CCP to accomplish its ambitions. State support means that the regime can use huge sums of money to support key industries. Effectively, this is about using China’s national power to exert pressure on private businesses in the West. This poses an enormous, unique challenge to countries where leaders are democratically elected and leave business decisions to businesses themselves. It can be said that Western companies have lost before the game has even begun. China’s subsidies — ultimately taken out of the pocket of the unconsenting taxpayer — mean that Chinese manufacturers can ignore the real costs, making them unstoppable predators in international markets.

The solar cell industry is a classic example of the Chinese regime’s subsidies. Ten years ago, there were no Chinese companies among the top ten solar-cell manufacturers, but now there are six from China, including the top two. The green energy industry was heavily promoted during President Obama’s first term, but before long, dozens of solar-panel makers were filing for bankruptcy or had to cut back their businesses in the face of unrelenting competition from China, which undermined the enthusiasm for clean energy at the time.[53] The damage was caused by China’s dumping products on the world market, which was enabled by the regime’s subsidies for its domestic solar industry.

In Western countries, states also fund key projects, including those on the cutting edge of technological development. The prototype of the internet, for instance, was first developed by the U.S. Department of Defense. However, in the West, government participation at the national level is limited. Once a technology is commercialized, private companies are free to act as they will. For example, NASA disseminated its advanced research results to industry through its Technology Transfer Program. Many of its software projects simply put their source code on the Web as open source. In contrast, the CCP directly uses the power of the state to commercialize high-tech, which is equivalent to using a “China Inc.” to compete against individual Western firms.

The Made in China 2025 project is, of course, inseparable from state subsidies and state industrial planning. If the CCP continues on its current track, the story of the solar panels will play out again in other industries, and Chinese products will become global job-killers. Through unrestricted economic and technological warfare, the CCP has successfully led many Western companies, including multinational corporations, into a trap. They handed over capital and advanced technology, but weren’t able to compete fairly in the Chinese market, and instead helped create their own state-backed competitors. The CCP used them as pawns to achieve its ambitions.

From Chapter Eighteen
The Chinese Communist Party’s Global Ambitions

Chinese manufacturers can ignore the real costs, making them unstoppable predators in international markets.