24 September, 2005

scrutinizing chinese state-run corporations

The Horse’s Mouth points to an article from NewsMax that highlights one of the reasons Washington might be justified in its concern over Chinese state-run companies purchasing American corporations:

The Chinese army has converted a U.S.-made airliner into an advanced military command aircraft. The conversion is a direct violation of U.S.-Sino trade agreements and U.S. export laws. Officials at the U.S. State and Commerce departments refused to comment on the illegal Chinese modification.

….The aircraft now serves the Chinese army and is intended to fly PLA commanders during war. The 737 is intended to allow a PLA crew of generals and staff to fly close to a battlefield, issuing commands to their army, navy and air force from the airborne headquarters.

If the Chinese are so willing to blatantly disregard international trade agreements in order to further their military influence, why should it be so surprising that Washington and the American public feel threatened by corporate takeovers by Chinese state-run companies? Particularly those that involve strategic energy resources such as oil and natural gas.

by @ 6:42 pm. Filed under China, Asia, Current Affairs

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