China's move toward oil diplomacy

[NNN0LHI]

http://www.taipeitimes.com/News/edit/archives/2005/01/20/2003220198

Thursday, Jan 20, 2005,Page 8

The continued rapid development of China's economy over the past few years has led to an astonishing consumption of raw materials and energy sources.

In a report detailing the raw-materials production market in 2003 and forecast for last year, China's Ministry of Commerce pointed out that the country relied on imports for 35 percent of its crude oil, 36.2 percent of its iron ore, 47.55 percent of its aluminum oxide and 68.24 percent of its natural rubber. At the annual National People's Congress and Chinese People's Political Consultative Conference last March, an economist pointed out that energy consumption needed in China to create US$1 was 4.3 times that of the US, 7.7 times that of Germany and 11.5 times that of Japan. China has now become the world's biggest consumer of crude oil after the US, importing more than 100 million tonnes last year. One of the reasons oil prices soared last year was China's great increase in oil imports.

China's urgent desire to import oil is indeed startling. Apart from the needs resulting from economic development, there is also a feeling of crisis, as if someone were trying to cut their oil supplies. After Hu Jintao (­JÀAÀÜ) took over as president, China's diplomacy has been transformed from a great-nation diplomacy to an "oil-nation diplomacy," and China's oil grab is now reaching across the globe. snip

No country today feels that it has the ability to invade China. China does not set out to save energy, but instead stirs up a feeling of crisis in various places in order to whip up nationalist sentiment. The oil crisis is one example. The goal is to use oil diplomacy to cover up its ambitions for strategic expansion. This is the crisis toward which the whole world should turn its attention.

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Maybe there is something to that "the meek shall inherit the earth" stuff?

[Old and In the Way]

1. This is the Taipei Times talking.....

not exactly a nuetral observer. Strategic expansion is code for taking over Taiwan. I think we'll be seeing lots more of this kind of commentary as they (Taiwan) proxy for the US interests in keeping China's increasing demands for oil in check. Not sure about those numbers they are tossing around, either. "an economist pointed out that energy consumption needed in China to create US$1 was 4.3 times that of the US". What does that mean? US government subsidizes US oil consumption and the RMB is tied to the USD...and of course they oil demand is going up.....that's where all the manufacturing is happening.