Chapter 1: Rethinking US-China Relations in the Biden Era with Elizabeth Economy | LFHSPBC

Hoover InstitutionHoover Institution
Education4 min read26 min video
Apr 14, 2022|21,132 views|37|5
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Key Moments

TL;DR

US-China relations have deteriorated significantly due to China's shift towards authoritarianism and expansive foreign policy.

Key Insights

1

The US approach to China shifted from constructive engagement to pushing back against abuses and coercion.

2

China's internal policy changes, particularly under Xi Jinping, have led to a centralization of power and increased Communist Party control.

3

Xi Jinping's era has seen a reassertion of the CCP's role in daily life, enhanced surveillance, and social credit systems.

4

China's foreign policy has become more ambitious, focusing on sovereignty, pushing the US out of Asia, and exploiting market leverage.

5

China is actively seeking to reform global governance systems to align with its political and economic interests.

6

The Belt and Road Initiative has expanded beyond infrastructure to include digital, security, and political elements, promoting China's model.

THE EVOLUTION OF US-CHINA RELATIONS

The relationship between the United States and China, always complex, has seen a significant deterioration over the past decade, prompting many to label it a "new Cold War." While persistent issues like Taiwan, trade, and human rights have always been present since normalization in 1979, the current period marks a substantial shift. The focus now is on understanding the historical trajectory and future implications rather than just the label of the relationship. This analysis traces the path from past hopes to present challenges, highlighting key changes in both countries' policies.

FROM ENGAGEMENT TO PUSHBACK

In 2001, as China prepared to join the WTO, the US welcomed its rise as a great power, expecting adherence to international norms. This reflected a policy of "constructive engagement," where integrating China into the global system was believed to foster economic and political liberalization. However, by 2022, US President Joe Biden's assessment starkly contrasted, calling for pushing back against China's "abuses and coercion" that undermine the international economic system and demanding a shaping of future technological rules to prevent monopoly and repression. This shift underscores the failure of initial US hopes regarding China's development path.

CHINA'S INTERNAL POLICY SHIFTS

China's own policy changes have been a primary driver for the US recalibration. The 2008 Beijing Olympics, coinciding with the US financial crisis, marked a turning point where China began to question the US model. The ascent of Xi Jinping in 2012-2013 introduced a "great rejuvenation" vision, characterized by centralizing power, reasserting the Chinese Communist Party's (CCP) dominance, enhancing technological and military capabilities, and building a pervasive surveillance state. This includes extensive use of facial recognition, social credit systems to mold citizen behavior, and increased party involvement in Chinese companies, even taking stakes in major tech firms.

THE REASSERTION OF PARTY CONTROL

A significant shift under Xi Jinping has been the reassertion of the CCP's control over political and economic life, reversing the market-oriented trends of Deng Xiaoping's era. This includes the creation of a massive surveillance apparatus and the development of social credit systems, which monitor citizens' activities to incentivize alignment with party goals. The party's increased role in Chinese companies, seen in the crackdown on the tech sector, demonstrates Xi's emphasis on control. This move limits the power of tech billionaires and ensures that Chinese people's data remains accessible to the government.

IMPOSITION OF RESTRICTIONS AND REGULATIONS

Xi Jinping has implemented a "virtual web of restrictions and regulations" to control information flow and limit foreign influence. This includes a strict law on foreign NGOs, drastically reducing their numbers and shifting oversight to the Ministry of State Security, labeling many foreign entities as "hostile foreign forces." Furthermore, initiatives like "Made in China 2025" aim to secure Chinese dominance in key technologies while limiting multinational access to the market. This strategy is expanding beyond technology to sectors like pharmaceuticals, cosmetics, and entertainment, signaling an effort to reduce foreign market share.

AMBITIOUS FOREIGN POLICY AND GLOBAL GOVERNANCE REFORM

On the foreign policy front, China has adopted a more ambitious and expansive approach. This includes tightening control over regions like Xinjiang and Tibet, increasing assertiveness regarding Taiwan and the South China Sea, and resolving border disputes. China also aims to push the US out of its preeminent position in Asia, advocating for regional organizations that exclude the US and promoting an "Asia for Asians" narrative. Moreover, China seeks to exploit its market leverage to coerce other countries and is actively working to reform global governance systems, positioning its own political and economic model as an alternative.

THE BELT AND ROAD INITIATIVE AND EXPORTING THE CHINESE MODEL

The Belt and Road Initiative (BRI), initially an infrastructure project, has evolved into a multifaceted endeavor encompassing digital infrastructure, security, and political elements. China is exporting aspects of its political system, offering training on internet censorship and civil society control to interested nations, though not imposing its model. Through the BRI, capacity building, and technological deployment, China is spreading elements of its system. This multi-level strategy, coupled with its efforts to rewrite rules in international institutions, presents a significant long-term challenge due to China's extensive resource allocation.

Common Questions

For decades, the US pursued a policy of 'constructive engagement,' integrating China into the international system, anticipating it would liberalize its economy and political system and become a responsible global stakeholder.

Topics

Mentioned in this video

personHank Paulson

Former Secretary of the Treasury, mentioned in relation to conversation with Chinese Vice Premier Wang Qishan during the 2008 financial crisis.

organizationHouston Rockets

NBA team involved in a controversy when their general manager Daryl Morey tweeted support for Hong Kong, leading to Chinese retaliation.

companyBaidu

Mentioned as a major Chinese tech company whose leaders, like Robin Li, are subject to CCP control.

organizationRegional Comprehensive Economic Partnership

A regional organization that excludes the United States, cited as part of China's effort to push the US out of the Asia-Pacific.

personBob Zoellick

Former Deputy Secretary of State, quoted for his concept of China as a 'responsible stakeholder' in the liberal international order.

organizationObama Administration

Initiated the 'pivot' or 'rebalance' to the Asia-Pacific in 2011 in response to China's growing challenge.

locationMalaysia

Mentioned in the context of border disputes China pushed during the COVID-19 pandemic.

toolSocial Credit System

Described as a system to measure citizens' trustworthiness, using collected data to offer rewards or punishments and mold ideal citizens.

personWang Sa

A top expert on the US-China relationship, quoted on China's unchanging strategic goals and how its actions have shifted US policy.

locationNepal

Mentioned in the context of border disputes China pushed during the COVID-19 pandemic.

companyProcter & Gamble

Mentioned as an example of a company that has traditionally dominated market share in consumer products and services in China, potentially facing increased competition from domestic firms.

personWang Qishan

Chinese Vice Premier, mentioned in a conversation with Hank Paulson during the 2008 global financial crisis, questioning the US model.

locationCambodia

Mentioned as a potential future location for Chinese logistics or military bases.

personWalter Russell Mead

Author of the opinion piece in the Wall Street Journal that led to the expulsion of reporters from China.

organizationCCTV

Chinese state television, which stated that issues of sovereignty and social stability are not within the purview of free speech, illustrating China's control over information.

conceptXinjiang
conceptDjibouti
organizationWall Street Journal
organizationAustralia
countryPakistan
conceptBhutan
countryJapan
conceptTanzania
conceptMars
conceptSenkaku Islands

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