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Summary

Details

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1 +Chinese clean tech leadership is key to their economy, internal stability, and solves extinction
2 +Denlinger, consultant specializing in the China market who is based in Hong Kong, 10
3 +(Paul, 7/20/10, “Why China Has To Dominate Green Tech,” http://www.forbes.com/sites/china/2010/07/20/why-china-has-to-dominate-green-tech/, 2/3/13, atl)
4 +On the policy level, the Chinese government has to perform a delicate balancing act, it has to balance the desire of many Chinese to live a Western lifestyle, together with its high energy consumption and waste, with the need to preserve the environment, since China, and the world, would suffer enormous damage if 1.3 billion people got all their energy needs from coal and oil, the two most widely used fossil fuels. China’s political and social stability depends on finding the right balance, since the party has an implicit mandate: it will deliver economic growth to the Chinese people. This is why the Chinese government has chosen to invest in developing new green energy technology. The country is very fortunate in that most of the discovered deposits of rare earths used in the development of new technologies are found in China. While these deposits are very valuable, up until recently, the industry has not been regulated much by the Chinese central government. But now that Beijing is aware of their importance and value, it has come under much closer scrutiny. For one, Beijing wants to consolidate the industry and lower energy waste and environmental damage. (Ironically, the rare earth mining business is one of the most energy-wasteful and highly polluting industries around. Think Chinese coal mining with acid.) At the same time, Beijing wants to cut back rare earth exports to the rest of the world, instead encouraging domestic production into wind and solar products for export around the world. With patents on the new technology used in manufacturing, China would control the intellectual property and licensing on the products that would be used all over the world. If Beijing is able to do this, it would control the next generation of energy products used by the world for the next century. That is the plan. It would be like if the oil-producing nations in the 1920s and 1930s said that they didn’t need Western oil exploration firms and refineries to distribute oil products; they would do all the processing themselves, and the Western countries would just order the finished oil products from them. This is how China obviously plans to keep most of the value-added profits within China’s borders. Before any Western readers snap into “evil Chinese conspiracy to take over the world” mode, it’s worth pointing out that Chinese rare earth experts and government officials have repeatedly warned Western visitors that this policy change would be introduced. Unfortunately, these warnings have gone largely unheeded and ignored by the Western media and politicians who, it seems, have been largely preoccupied by multiple financial crises and what to do about the West’s debt load. The debt crisis in the West means that it is very hard for Western green energy companies to find financing for their technologies, then to market them as finished products. New energy technologies are highly risky, and initial investments are by no means guaranteed. Because they are considered high-risk and require high capital expenditure (unlike Internet technologies which are very cheap and practically commoditized), banks are reluctant to finance them unless they are able to find government-secured financing. Because most U.S. banks are recapitalizing their businesses after the debt bubble burst, there are very few, if any western banks who will finance new green energy technologies. This has opened a window of opportunity for the Chinese government to finance, and for Chinese technology companies to develop, then manufacture these new green products. But just making these technologies is not enough; they need to be competitive against traditional fossil fuels. When it comes to the amount of energy released when coal or oil is burned, the new green technologies are still way behind. This means that, at least in the early stages of adoption, Chinese businesses will still be reliant on coal and oil to bridge that energy chasm before the new energy technologies become economically competitive. Much depends on how much the Chinese government is willing to spend to promote and incentivize these new technologies, first in China, then overseas. Because of China’s growing energy demands, we are in a race for survival. The 21st century will be remembered as the resurgent coal and oil century, or as the century humanity transitioned to green technologies for energy consumption. While China is investing heavily now in green tech, it is still consuming ever larger amounts of coal and oil to drive its economic growth. Right now, we all depend on China’s success to make the transition to green energy this century. For all practical purposes, we’re all in the same boat.
5 +
6 +CCP collapse decimates the stability of the international order – laundry list of conflicts.
7 +Perkinson 12 — Jessica, Faculty of the School of International Service of American University in Partial Fulfilment of the Requirements for the Degree of Master of Arts in International Affairs; reviewed by: Quansheng Zhao, Professor of international relations and Chair of Asian Studies Program Research Council at American University, and John C. King, Assistant Professor School of International Service, 2012 (“The Potential for Instability in the PRC: How the Doomsday Theory Misses the Mark,” American University, April 19th, Available Online at http://aladinrc.wrlc.org/bitstream/handle/1961/10330/Perkinson_american_0008N_10238display.pdf?sequence=1)
8 +Should the CCP undergo some sort of dramatic transformation – whether that be significant reform or complete collapse, as some radical China scholars predict2 – the implications for international and US national security are vast. Not only does China and the stability of the CCP play a significant role in the maintenance of peace in the East Asian region, but China is also relied upon by many members of the international community for foreign direct investment, economic stability and trade. China plays a key role in maintaining stability on the Korean Peninsula as one of North Korea’s only allies, and it is argued that instability within the Chinese government could also lead to instability in the already sensitive military and political situation across the Taiwan Strait. For the United States, the effect of instability within the CCP would be widespread and dramatic. As the United States’ largest holder of US treasury securities, instability or collapse of the CCP could threaten the stability of the already volatile economic situation in the US. In addition, China is the largest trading partner of a number of countries, including the US, and the US is reliant upon its market of inexpensive goods to feed demand within the US.
9 +It is with this in mind that China scholars within the United States and around the world should be studying this phenomenon, because the potential for reform, instability or even collapse of the CCP is of critical importance to the stability of the international order as a whole. For the United States specifically, the potential - or lack thereof - for reform of the CCP should dictate its foreign policy toward China. If the body of knowledge on the stability of the Chinese government reveals that the Chinese market is not a stable one, it is in the best interests of the United States to look for investors and trade markets elsewhere to lessen its serious dependence on China for its economic stability, particularly in a time of such uncertain economic conditions within the US.
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1 +La Canada Zhao Neg
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1 +SEPOCT - DA - China Energy
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1 +Voices

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