Tag Archives: Hu Jintao

Rumors of a coup in China

The late writer-journalist and China hand Theodore White once said that politics and power struggles in China are opaque, like huge sea monsters battling under water. All the outside observer sees are the churning waves and foam. Occasionally, we get a brief glimpse of the players as the monsters come up for air.

In the last few days, rumors of a coup — or at least of a political struggle for power between rival factions of the Communist Party — are coming out of China, despite the country’s heavily censored Internet.

Josh Chin and Brian Spegele report for the Wall St. Journal, March 20, 2012:

On Monday night, Internet users were startled by reports—entirely unsubstantiated—on China’s wildly popular Twitter-like microblogging sites of gunfire in downtown Beijing. Nerves were further jangled by accounts of a heavier-than-usual police presence along Chang’an Avenue, one of the capital’s main thoroughfares.

Among the legion of social-media fanatics, there has been fevered chatter of a political struggle inside the towering walls of the Zhongnanhai leadership compound in downtown Beijing.

One theory, widely explored: A battle is brewing between Zhou Yongkang—the country’s domestic security chief who is believed to be a strong supporter of Mr. Bo—and President Hu Jintao, Premier Wen Jiabao and other leaders who analysts say likely supported Mr. Bo’s ouster. Mr. Zhou is a member of the party’s all-powerful Politburo Standing Committee, and one of the country’s nine most powerful political leaders.

The Communist Party’s grip on power depends in large part on maintaining a facade of unity, so the online rumor mill is clearly unsettling China’s propaganda officials and their armies of Internet censors.

The same day, March 20, Andy Lees — formerly of UBS and now at AML Macro Ideas — also weighs in on the coup rumors:

[…] there has been some chatter of a coup in China. An article on the web says “Over the night of March 19th and early morning of March 20th, Beijing local time, a message about a large number of military police showing up in Beijing spread widely across microblogs in mainland China. The key figures in the action are said to be Hu Jianto, the head of the CCP, Wen Jiabao, the premier; Zhou Yongkjang who has control of the People’s Republic of China’s police forces; and Bo Xilai who was dismissed from his post as the head of Chongqing City Communist Party on March 15th by Wen Jiabao after a scandal involving Bo’s former police chief”. The article does not really say anything beyond that. Some people have dismissed the troops as security for a North Korean delegation. It could also be to head off any demonstrations against the fuel price hikes.

A second article says that around New Year’s day 2 airforce officers were arrested on suspicion of plotting a coup, and a nuclear submarine on potrol [sic] was ordered back to port because they were thought to have links with the plotters.

There may be absolutely no truth in any of this, but if there is the possible consequences could be enormous for the global economy, for Chinese economic policy response – (remember the cheques that Saudi Arabia wrote to buy calm in the Arab Spring) – and for market volatility generally. 

Tighten your seat belts, friends. We’re heading toward even more turbulent times….


A-List Invitees to Obama-Hu State Dinner

Are you curious about who are the glitterati who were invited by Obama for his recent state dinner honoring Hu Jintao? Hu is the president of China — a country that, despite its market reforms that quickly have catapulted it to near superpower status, is still ruled by the Communist Party that regularly arrests, tortures, and imprisons political dissidents and followers of unapproved religions, especially the neoBuddhist Falun Gong.

A recent Wayne Madsen Report, exclusive to subscribers, gives the A-list of guests — which Madsen (gotta love the guy) calls “mostly an A-hole list”: 

“President Obama’s invitation list for the state dinner for visiting Chinese President Hu Jintao may be an ‘A-list’ to some, but, for the most part, those invited to the dinner represent the worst kinds of Americans, the ‘A-hole’ cream of the crop in the United States.”

Here’s the list of “American rogues” invited to dine on roast beef and lobster with an American president who’s a fraud, and a Chinese President who’s the head of a criminal regime. The list gives us a glimpse into some of the denizens of our political ruling class:

  1. “America’s most infamous war criminal, Henry Kissinger, a fan of gulags, Cambodian genocide, South African and Israeli apartheid, and the gassing of Soviet Jews.”
  2. Wendi Deng Murdoch, the Chinese “dragon lady” wife of neocon media mogul Rupert Murdoch.
  3. A lovely incestuous group comprised of:
    • Secretary of State Madeleine Albright;
    • Albright’s god-daughter Susan Rice, Obama’s UN ambassador;
    • Rice’s husband, ABC News producer Ian Cameron;
    • The host of the show Cameron produces, Christian Amanpour;
    • Amanpour’s husband James Rubin, Albright’s one-time spokesman.
  4. The “old philanderer-in-chief ‘Slick Willie’ Clinton.”
  5. The “old Bechtel criminal from the Reagan administration” George Shultz.
  6. “Weird Howard” Berman, the former chairman of the House Foreign Relations Committee.
  7. Maryland Representative Steny Hoyer.
  8. Arch-neocon Robert Kagan.
  9. Former vice chairman of Goldman Sachs and now Under Secretary of State for Economic, Business, and Agricultural Affairs Robert Hormats.
  10. David Rubenstein, the founder of The Carlyle Group.
  11. Obama’s “Chicago Mafia”: Mayor Richard Daley; his brother, incoming Obama chief of staff William Daley; Tom Pritzker of the Pritzker real estate conglomerate of Chicago; David Axelrod; Education Secretary Arne Duncan, and Valerie Jarrett.
  12. “Pseudo-journalists of the corporate media”: David Ignatius of The Washington Post, Thomas Friedman and Nicholas Kristof of The New York Times, and The Atlantic’s James Fallows.
  13. The UAW’s Robert King.
  14. “Leading financial shysters of Wall Street”: Lloyd Blankfein of Goldman Sachs and Jamie Dimon of JP Morgan Chase.
  15. Luis Ubinas of The Ford Foundation in New York, the same Ford Foundation for which Obama’s mom, Stanley Ann Dunham, had worked for decades.
  16. CEOs from Dow Chemical (of “Agent Orange” infamy), Microsoft, Motorola, General Electric, Intel, and Boeing.
  17. Barbra Streisand (“there is no telling what she said or did to her old White House boyfriend, Slick Willie Clinton”).

Something Tells Me Obama Will Bow to China

Today, China’s President Hu Jintao begins a 4-day state visit of the United States. 

China is a rising power made rich since its market-based economic reforms began some 30 years ago. But China’s new wealth is not simply due to its people’s hard work, for that hard work could generate wealth only because of America’s and the West’s trade with and investments in China, which in turn, are the product of our fantasy that economic “engagement” with China inevitably would lead to its political democratization.

Now, through an aggressive policy of investing in Africa and Latin America, China is securing those continents’ natural resources — including oil. With a new blue-water navy and weapons acquisitions that include a new stealth fighter aircraft and a new anti-ship ballistic missile targeted on U.S. aircraft carriers operating in the Western Pacific, China is pursuing its territorial claims to the East China Sea (the Senkaku islets), Taiwan, and the South China Sea rich in undersea oil and natural gas deposits.

Secretary of State Hillary Clinton is set to deliver a major speech on U.S.-China relations on Friday, Jan. 14, in Washington. (Read the text of the speech HERE.) I’ve read the speech and applaud its clear-eyed view of China and the problems in our relations.

Having said that, something tells me the Fraud in the White House will not stand up to this rising power. Here’s why!

And Taiwan knows it too!