China and Nicaragua sign free trade agreement

China and Nicaragua signed a Free Trade Agreement (FTA) in a virtual ceremony held on August 31st. Nicaragua was represented by Laureano Ortega Murillo, Presidential Advisor for the Promotion of Investments, Trade and International Cooperation, and China by Commerce Minister Wang Wentao.

Laureano Ortega said that it was a historic day, adding that:

“The signing of the Free Trade Agreement between Nicaragua and China will mark a before and after for the Nicaraguan people. It opens the doors to a huge market and will allow us to link up with the companies and businessmen of this sister country.”

“We are convinced that this will generate economic and social benefits for Nicaraguan families, new investments, the creation of more jobs, and the transfer of technologies from China to Nicaragua. It will also provide the opportunity for a greater presence of China in Nicaragua and we reiterate that Nicaragua must be considered by China as a commercial platform for the entire Central American region”.

He pointed out that the relations between the two countries are based on mutual respect and on recognising each other as allies and strategic partners, and this is the only way to explain why they have managed to complete the FTA negotiations in just one year.

This is a significant point as FTA negotiations are generally regarded as one of the most intricate areas of diplomacy and can often take years to negotiate.

Minister Wang Wentao said that the signing of the FTA is the result of the diplomatic relations between China and Nicaragua, which are under the personal attention and leadership of the two presidents, and the mutual trust of the two countries that has been growing through substantial cooperation and has advanced at high speed and at a high level, bringing tangible benefits to the peoples of both countries.

Laureano, at the end of the signing expressed that:

“We reiterate our deep gratitude to the brother government and people of the People’s Republic of China for the signing of the Free Trade Agreement. We promise to carry out the corresponding actions for its entry into force in January 2024. Today in Nicaragua a sun illuminates us and shines brighter in the light of the signing of this agreement that fills us with hope and optimism. We feel strengthened and we are certain that from now on we will see the fruits of this work with the greatest presence of Chinese brothers in our country that will promote economic and social development on the path to prosperity.”

In its report, China Daily noted comments from Dong Jingsheng, deputy director of Peking University’s Latin America Research Centre, who observed that China and Nicaragua are at different phases of development with high economic complementarity in industrial structures and diversity in resources.

He added that the signing of the FTA will foster a more favourable climate for expanding trade and investment partnerships and give both nations’ long-term growth a boost.

China will offer a sizable market for Nicaragua’s high-quality agricultural and aquatic products, and Nicaragua could import goods such as computers, motorcycles and communication equipment, Dong said.

Meanwhile, Chinese enterprises, with their comparative advantages in capital, technology, and managerial experience, could scale up investment and cooperation in sectors including infrastructure, manufacturing, and telecommunications, to increase local employment opportunities, improve public welfare and drive sustainable growth, he added.

The same day, Chinese Foreign Ministry spokesperson Wang Wenbin described the FTA as the most important achievement in the bilateral practical cooperation since the resumption of diplomatic relations.

“Since the two countries resumed diplomatic relations, we have witnessed leapfrog development in bilateral relations, deepening political mutual trust and fruitful practical cooperation. The dividends of resuming diplomatic relations continue to be felt. These have fully proved that the resumption of diplomatic relations between China and Nicaragua is in line with the trend of history and the times and serves the fundamental interests of the two countries and peoples”.

The following articles were originally carried by Kawsachun News, China Daily and Xinhua News Agency.

Nicaragua & China Sign Free Trade Agreement

Kawsachun News, 31 August 2023

In a virtual ceremony, Nicaragua and the People’s Republic of China made history with the signing of the Free Trade Agreement (FTA) that will allow a better and greater commercial and economic exchange between the two nations.

Nicaragua was represented by Laureano Ortega Murillo, Presidential Advisor for the Promotion of Investments, Trade and International Cooperation; the Minister of Finance and Credit, Iván Acosta and the Minister of Public Works, Industry and Commerce, Jesús Bermúdez. The Chinese delegation headed by Mr. Wang Wentao, head of Chinese Commerce.

Laureano Ortega Murillo expressed on behalf of the Government of Reconciliation and National Unity that it was a historic day.

“The signing of the Free Trade Agreement between Nicaragua and China will mark a before and after for the Nicaraguan people. It opens the doors to a huge market and will allow us to link up with the companies and businessmen of this sister country”, indicated Ortega Murillo.

“We are convinced that this will generate economic and social benefits for Nicaraguan families, new investments, the creation of more jobs, the transfer of technologies from China to Nicaragua. It will also provide the opportunity for a greater presence of China in Nicaragua and we reiterate that Nicaragua must be considered by China as a commercial platform for the entire Central American region”, he added.

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Isabel Crook: An extraordinary life dedicated to the cause of the Chinese people

Following the death of Isabel Crook, veteran communist and staunch friend of China, in Beijing, on August 20, we received the following message from Michael Sheringham.

Michael’s family founded the famous Arthur Probsthain bookshop, which has stood as a family owned and run business specialising in books on Asia, the Middle East and Africa, on London’s Great Russell Street, directly opposite the British Museum, since 1903. He and all his family have been constant and good friends of China.

Michael wrote in part:

“I have seen the obituary for Isabel Crook which you wrote for Friends of Socialist China, which I thought is very good and comprehensive. She did indeed have a remarkably long and full life dedicated to the cause and love of China, where she spent most of her life, with David and her three sons.

“While sad to learn of her passing away, I am gratified to have known her and David and the ‘boys’ since I started living in Beijing in 1972 – or rather since Isabel and David were freed from captivity in early 1973. I, with all the other foreign residents, attended the speech by Premier Zhou Enlai in the Great Hall of the People on March 8th, 1973, when he announced that those foreign friends who had been imprisoned during the Cultural Revolution were all (except Sidney Rittenberg at that time) exonerated and rehabilitated.

“I cherish the times we were able to see Isabel (and David), both in Beijing and London, and we met on many occasions during these years. Isabel came to visit my mother a couple of times in their later years. Isabel and David made great contributions to socialism in China, through their writing, teaching and dedicated work for the revolution.”

Additionally, the Society for Anglo-Chinese Understanding (SACU) wrote on social media:

“SACU is saddened to hear of the passing of Isabel Crook. She died in Beijing in the early hours of Sunday morning, aged 107.

“Hers was an extraordinary life dedicated to the cause of the Chinese people, moved most especially by her compassion for the rural folk. Her experiences and studies spanned from the Chiang Kaishek era to Mao’s revolution and on to ‘reform and opening up’ – she paved the way for many of us from the West to understand the zigs and zags of China’s path. She was a good friend to SACU – as we mourn, we celebrate her life, aspiring to carry on her legacy.”

Many obituaries of Isabel have been published in mainstream newspapers, including in the British newspapers, the Guardian (written by veteran China specialist John Gittings), the Financial Times and the Times; the New York Times; and Canada’s Globe and Mail.

Jeffrey Sachs: The US economic war on China

In this latest article from his syndicated New World Economy column, Professor Jeffrey Sachs (Director of the Center for Sustainable Development at Columbia University) argues convincingly that – despite its protestations to the contrary – the US is waging an economic war on China, and that the US is losing.

Sachs writes that “starting around 2015, US policy-makers came to view China as a threat rather than a trade partner”, following the realization that China was not going to accept a permanent position at the bottom of US-led global value chains, but was in fact advancing “to the cutting edge of robotics, information technology, renewable energy, and other advanced technologies.”

The Trump administration launched a full-scale economic war against China, which the Biden administration has only escalated. One result is a significant decrease in US-China trade: “Between June 2022 and June 2023, US imports from China fell by a whopping 29 percent.” Naturally this has affected China’s economy in the short-term, but the long-term damage will be to the US, since China’s deep economic relations with the countries of Africa, Asia, Latin America, the Middle East, the Caribbean and the Pacific render it relatively less vulnerable to the US’s coercion. “China can substantially increase its exports to the rest of Asia, Africa, and Latin America, through policies such as expanding the Belt and Road Initiative.”

Sachs concludes that “the US attempt to contain China is not only wrongheaded in principle, but destined to fail in practice.”

China’s economy is slowing down. Current forecasts put China’s GDP growth in 2023 at less than 5%, below the forecasts made last year and far below the high growth rates that China enjoyed until the late 2010s. The Western press is filled with China’s supposed misdeeds: a financial crisis in the real-estate market, a general overhang of debt, and other ills. Yet much of the slowdown is the result of US measures that aim to slow China’s growth. Such US policies violate World Trade Organization rules and are a danger to global prosperity. They should be stopped.

The anti-China policies come out of a familiar playbook of US policy-making. The aim is to prevent economic and technological competition from a major rival. The first and most obvious application of this playbook was the technology blockade that the US imposed on the Soviet Union during the Cold War. The Soviet Union was America’s declared enemy and US policy aimed to block Soviet access to advanced technologies.

The second application of the playbook is less obvious, and in fact, is generally overlooked even by knowledgeable observers. At the end of the 1980s and early 1990s, the US deliberately sought to slow Japan’s economic growth. This may seem surprising, as Japan was and is a US ally. Yet Japan was becoming “too successful,” as Japanese firms outcompeted US firms in key sectors, including semiconductors, consumer electronics, and automobiles. Japan’s success was widely hailed in bestsellers such as Japan as Number One by my late, great colleague, Harvard Professor Ezra Vogel.

In the mid-to-late 1980s, US politicians limited US markets to Japan’s exports (via so-called “voluntary” limits agreed with Japan), and pushed Japan to overvalue its currency. The Japanese Yen appreciated from around 240 Yen per dollar in 1985 to 128 Yen per dollar in 1988 and 94 Yen to the dollar in 1995, pricing Japanese goods out of the US market. Japan went into a slump as export growth collapsed. Between 1980 and 1985, Japan’s exports rose annually by

7.9 percent; between 1985 and 1990, export growth fell to 3.5 percent annually; and between 1990 and 1995, to 3.3 percent annually. As growth slowed markedly, many Japanese companies fell into financial distress, leading to a financial bust in the early 1990s.

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Aymeric Monville: Report back from Xinjiang

We are very pleased to publish below the report by the progressive French academic Aymeric Monville of his recent (August 2023) trip to Xinjiang. The report responds directly to the obscene anti-Chinese propaganda that has been raging for several years in the Western media regarding ostensible human rights abuses against China’s Uyghur population.

Aymeric describes his visits, along with the writer Maxime Vivas, to Kashgar, Urumqi and assorted villages. The picture he paints is dramatically different from the stereotype found in the Western media of a dystopian nightmare characterised by brutal repression and cultural genocide.

Arriving at the Kashgar bazaar in the middle of the night, I found it to be a profusion of light, joy, song and happy people in the streets. In particular, the sight of young women on scooters, their hair blowing in the wind, gave me an impression of great freedom.

He notes that, if the whole thing had been somehow staged for his benefit, it would have been a remarkable feat of organisation: “an absolute record for a Hollywood production involving literally thousands of people”.

Of particular note is the account of a visit to a de-radicalisation centre – what would be described in the Western media as a “concentration camp”:

In fact, it was a school where young people who had not committed any crimes but had been influenced by jihadism were taught not only Mandarin so that they could integrate into Chinese society, but also the constitution and a trade. They can play sport, winning table tennis competitions for example, and can go home at weekends. Recognising the basic characters 图书馆, I realise that this is the school library and ask to enter. I also asked to be shown books in Uyghur as well as Mandarin, which was done. I was also assured that the pupils’ Muslim faith is respected and I have no reason to doubt this.

The report includes an interesting discussion of the Uyghur language – its origins, widespread use, and connection to Uyghur culture – as well as various observations on the everyday activities and living conditions of the Uyghur people. There is no evidence of any “cultural genocide”; indeed massive efforts are made to protect the diverse cultures of the region. Monville points out that, if religious fundamentalist separatists were allowed to succeed in their aims, this cultural diversity would come under serious threat: “We can be sure that Uyghur culture in all its diversity, like that of the other ethnic groups living in the region, would have been very much at risk of eradication.”

The report is highly recommended reading for anyone interested in the truth about Xinjiang. We hope it will be widely disseminated.

Aymeric Monville, born in France in 1977, is the author of several philosophical and political essays. In English, he has just published “Neocapitalism according to Michel Clouscard” (foreword by Gabriel Rockhill). He is deeply involved in the fight against anti-Chinese propaganda, and has published essays in France such as “The Ramblings of the Antichinese in France” and “China without Blinkers”.

I am back from Xinjiang, where I spent several days in the company of the writer Maxime Vivas, some of whose books I have had the honour of publishing. We visited Kashgar, a town close to the Afghan border with a 92 percent Uyghur population; then Urumqi, the capital with a population of over 2 million; and finally the new town of Shihezi, developed in the 1950s by the bingtuan (兵团), peasant-soldiers sent by Mao Zedong to develop pioneer areas so as not to have to compete with the local population for water in this semi-desert region. Not forgetting a diversion to sublime Lake Tianchi, to the east of the Celestial Mountains.

Xinjiang has around 25 million inhabitants in an area three times the size of France, but only 9.7 percent of the territory is inhabitable, so I think that this visit to the major urban centres and the main roads used to reach them gives me a sufficiently representative overview to be able to talk about this region with more authority than many French journalists who have never been there, certainly not recently, and particularly since the slander campaign orchestrated by Mike Pompeo and the CIA from 2019.

It was my first visit, and the third for Maxime Vivas.

Having long understood that the campaign about the alleged “genocide of the Uyghurs”, the “genocide in progress” (according tothe French daily Libération) or the “cultural genocide”, the forced sterilisation of women and so on, which has even been voted on by the French National Assembly, is nothing more than a copy and paste of the same campaign that took place ten or fifteen years earlier on Tibet, I was obviously expecting to meet many Uyghurs living in perfectly decent conditions. Nevertheless, I was struck by the relative prosperity of this remote region of China. Arriving at the Kashgar bazaar in the middle of the night, a few hours late, I found it to be a profusion of light, joy, song and happy people in the streets. In particular, the sight of young women on scooters, their hair blowing in the wind, gave me an impression of great freedom and made me think of what their fate would be on the other side of the Afghan border, where they would lose all their rights. We asked people in the street to pose for photos with us. Everyone, including the women, happily participated.

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