MEDIA REACTION: GREEN DAM, U.S. POLICY, U.S. MILITARY,

UNCLAS BEIJING 001801

DEPARTMENT FOR INR/R/MR, EAP/CM, EAP/PA, EAP/PD, C
HQ PACOM FOR PUBLIC DIPLOMACY ADVISOR (J007)
SIPDIS

E.O. 12958: N/A
TAGS: OPRC KMDR CH PREL ECON

SUBJECT: MEDIA REACTION: GREEN DAM, U.S. POLICY, U.S. MILITARY,
U.S.-CHINA ECONOMIC RELATIONS

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Editorial Quotes
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1. GREEN DAM

"The network is a sensitive zone for the China-West conflict"

The official Communist Party international news publication Global
Times (Huanqiu Shibao)(06/30): "Recently, concerning friction
between China and the West, internet supervision has become a
sensitive topic. The U.S. has called on the Chinese government to
resist cyber supervision. This doesn't sound as resentful as their
earlier calls resisting the Beijing Olympics. In this way, the West
is increasing its interference in Chinese society. The competition
between China and the West on this issue is likely to be a marathon.
It requires that any cyber supervision measures by China first gain
the support of the Chinese netizens. Chinese experts indicate that
'Green Dam' is just another standard install, just like all
installed antivirus software. Whether customers want to use it
totally depends on their choice. They can uninstall the software at
any time. However, installing it is a governmental action. The
government will not pass along the added cost to the companies. The
exaggerations on the software by western countries are just the
beginning of another round of attacks on China. The west will use
every possible means to attack China. This is a phenomenon that
China can't avoid during its rise."


2. U.S. POLICY

Why is the U.S. dollar bonded to oil?

The official Communist Party international news publication Global
Times (Huanqiu Shibao)(06/30): "Both oil and the USD do not
singularly exist; they are connected to each other. USD oil
dealings show the complexity of international politics and
economics. The oil supply is naturally unbalanced. However, the
international market always has a large need for oil. The U.S.
needs to control the international oil supply and therefore control
the currency of international oil deals. Since oil-producing
countries absolutely dominate the currency, by dominating the oil
producing countries one can further dominate oil dealing currency.
The U.S. has bonded the USD with oil deals in order to serve its
national interests. By carefully plotting 'oil to the USD', the
U.S. economy rapidly galloped in the 1970s, creating incompatible
competitiveness."


3. U.S. MILITARY

"The cyber military department of the U.S. will lead to substantial
differences in future wars"

The official Communist Party international news publication Global
Times (Huanqiu Shibao)(06/30): "The recent establishment of the U.S.
Cyber Command Office has produced the first cyber military office.
As Secretary Gates prepares to nominate a four-star General as a
commander, a new 21st century military will begin. The U.S. places
equal emphasizes on their regular forces, Air, Army, Navy and Marine
troops and their Cyber FORCE and Space Force. Every major
revolution in the military field will be accompanied by fierce wars.
Russia has had a severe reaction to the U.S. establishment of the
cyber war command office. Compared to the U.S. and Russia, the war
and anti-war knowledge of some Chinese personnel has been left far
behind and is, to a dangerous level, out-of-date."


4. U.S.-CHINA ECONOMIC RELATIONS

"Americans deposit money; the Chinese do not need to be afraid"

The official Communist Party international news publication Global
Times (Huanqiu Shibao)(06/30): "The average personal deposit rate
for American citizens, as of the end of May 2009, reached 6.9%.
This ignites serious concerns within the Chinese economy. Chinese
exports and economy's structure are dependent on consumption by
Americans. However, the increased deposit rate doesn't necessarily
mean that Americans have changed their consumption behavior. Along
with economic recovery, the deposit rate will continue to decrease.
One should not expect that American's living standards will change
away from consumption after the financial crisis. The influence of
the crisis will be limited. The resumption of the pre-consumption
living standards of the U.S. won't bring China's economy sustainable
growth. It should be noted that the dependence of China's economic
growth on the U.S. market will continuously decrease in the future.
China's ongoing industrial structural reform will rely more on the
domestic needs of infrastructure, new energy, social insurance,
etc."

GOLDBERG