China's thirst for oil grows

You can call mainland Chinese leader Hu Jintao's tour of Saudi Arabia and Africa an energy journey aimed at securing energy to supply his country's explosive economic development. Mainland China is already the world's second largest consumer of oil, after the United States.

Hu, on the heels of his four-day visit to the United States last week, embarked on a four-nation visit to Saudi Arabia, Morocco, Nigeria and Kenya. It is obvious that Hu's post-U.S. trip has one major purpose -- grabbing oil and other resources to fuel his country's gargantuan appetite for energy and natural resources.

On Wednesday in Nigeria, the world's eighth largest oil exporting nation, the oil-rich country struck a deal with mainland China under which Nigeria will give mainland China four oil drilling licenses in exchange for a commitment to invest US$4 billion in infrastructure. Nigeria is the third leg of Hu's Asia-African tour, during which Beijing will cement its economic as well as diplomatic ties with these resources-rich countries. The new deal with Nigeria involves China buying a controlling stake in Nigeria's 110,000-barrel-a-day Kaduna oil refinery and building a railway and power stations.

Almost all of Nigeria's current oil production is controlled by Western multinationals. But the situation will change. Mainland China, with US$875 billion foreign reserves, is trying to buy oil and gas around the world. Because most of the major oil fields are already taken, Beijing has ended up dealing with the world's rogue states: Sudan, Iran and Myanmar for instance.

Mainland China's economy grew 10.2 percent in the first quarter of this year, much higher than the projected growth rate. The rapid growth has increased the demand for energy, chiefly oil and gas for power generation. Mainland China imported 870 million barrels of crude in 2005, becoming the world's second largest crude importer, after the United States.

But the mainland's appetite for oil is bound to increase when it becomes more affluent and when automobiles and appliances are becoming more affordable. At present, the mainland's per capita GDP stands at US$1,700. When the figure increases to US$5,000 or more, as is already the case in booming regions like Shanghai and Beijing, the car population will increase and the energy shortage will become more acute.

During his visit to Saudi Arabia, the world's largest producer of oil and mainland China's largest supplier of crude, Hu strengthened Sino-Saudi economic and trade ties by promoting cooperation in energy development, trade and investment. Last year, the mainland imported 22 million metric tons of crude from Saudi Arabia, accounting for 17.5 percent of the mainland's total oil import.

In Mao's days, the mainland was self-sufficient in oil, but that was the time when mainland's per capita GDP was under US$200. Now, 28 years after Deng Xiaoping's opening to the West, the mainland has become an energy glutton and a "threat" to the global energy supply. Hu has to keep the mainland's economic engine running, and therefore, has to find new sources of energy supply. In his search for energy, however, Hu should also give energy saving serious thought, especially when the mainland's efficiency in energy use is among the worst in the world. After all, kaiyuan (tapping new sources) is as important as jieliu (reducing waste).

Does it occur to anyone that China's new-found thirst for oil is nothing more than economic war? The CHinese know how fragile the US economy is, and how much it rests on energy. They also know that, using the money they have made from the trade imbalance with the West, they can buy up huge surpluses of oil, whether they need it or not, and stress America's economy to the point that we can no longer support our military ventures.

Couldn't they be doing to us exactly the same thing Ronald Reagan did to the Soviets? Or should I have my tin-foil hat replated?

Does it occur to anyone that China's new-found thirst for oil is nothing more than economic war?

Does it occur to anyone that China's and India's new-found thirst for oil is nothing more than peace in action?
What else would you expect to happen if Asia stopped shooting itself in the foot with socialism? Naturally they would find uses for oil - as much oil as we were using during the Clinton-Gore administration. And naturally they would, in so doing, bid up the price of oil.
And naturally Democrats who prevented drilling for more oil, and prevented the construction of new refineries for the oil we do have, would blame Republicans for the results of their policies.

China's growing economy and rising levels of education are good for America in the long run.

- zook, 2006

Japan's growing economy and rising levels of education are good for America in the long run.

- shortsighted statesman, 1941

Germany's growing economy and rising levels of education are good for America in the long run.

- Neville Chamberlain, 1938

Lesson? It's NEVER "good for America in the long run" to enrich her enemies.

Your post is riddled with logical flaws. It's the rhetorical illustration of how to a man with a hammer everything looks like a nail.

Japan and Germany of that era were nothing like China of today. Both Japan and Germany were rapidly moving toward totalitarianism. For the past 20 years, China has been rapidly moving away from it, hand in hand with the rise of its middle class, a shift toward capitalism, and improvements in education.

And finally, China may be our adversary in many ways, certainly our economic competitor, but in no way is she our enemy.

For the past 20 years, China has been rapidly moving away from [totalitarianism], hand in hand with the rise of its middle class, a shift toward capitalism, and improvements in education.

Uh huh. Tell that to the Falun Gong. Tell that to the residents of the Lao Gai. Tell that to the vanished heros of Tianenmen. You must be blind.

And finally, China may be our adversary in many ways, certainly our economic competitor, but in no way is she our enemy.

Oh, for heaven's sake! What will it take to wake you up, an atomic strike at LA? Why do you think China is devoting so much of its GNP toward a military buildup? The parallel between 2006 China and 1936 Japan is chilling.

Everything to me may look like a nail, but to a blind man, everything looks kind of blank.

I once felt like you, until I actually lived in Taiwan and traveled through China. The Falun Gong are a cult. And while we suffer cults here in the US, it is unfair to demand that China do so as well. Regarding Tianenmen, it was a tragedy, no doubt. But 10 years prior to 1989, there never would have been such a tragedy because the first to sit down would have been hauled away and imprisoned or executed.

If you don't believe that China has made tremendous progress over the past 30 years, then you are the one who needs glasses--really good glasses. And as far as your atomic strike fantasy, you may need meds as well.

10 years prior to 1989, there never would have been such a tragedy because the first to sit down would have been hauled away and imprisoned or executed.

Are we supposed to get all oogy over the fact that instead of being hauled away and executed they were executed on the spot???!!! Your definition of "progress" is odd.

as far as your atomic strike fantasy, you may need meds as well.

Yeah, China is buying all the atomic capability and missile stage-separation and guidance technology it can get its hands on because it's planning on going duck hunting in the fall.

I don't know WHAT kinds of meds will work for YOU. I don't think any kind of pharmaceutical can reverse a lobotomy.

Apparently, the only prescription that will work for you is nuclear war with China.

In 1989, the world watched in amazement as, for the first time since its establishment, the PRC allowed massive anti-government protests to take place. The protests snowballed beyond the capability of the Chinese civilian government and the military eventually carried the day. I dare say that if half a million protestors sat down in Washington DC, refusing to leave for days and days, our government would crack down as well. Not as violently, mayber, but certainly people would have died. See Waco for further evidence.

To deny that there is far more freedom of thought, expression, religion, etc. in China today than 30 years ago is to deny reality. This has occured hand in hand with Chinese economic development. You somehow believe that we can stop China from emerging as a major world power. You're dreaming.

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