Chinese Methods Facing Pressure (in Burma)

China's "soft power" has not evolved to "smart power."

“The reason why Chinese enterprises often become a target of criticism in [Myanmar] is that they lack a clear understanding of the national situation, especially the complicated interest pattern in the country,” commented Bi Shihong, a professor of the Institute of International Studies at Yunnan University. 

“Chinese enterprises haven’t given enough attention to other interest groups besides the [Myanmar] government and its local partners. And they haven’t communicated well with the local NGOs and communities. [They] should pay more attention to these challenges when investing in Myanmar.

V/R

Dave

Chinese Methods Facing Pressure

By WILLIAM BOOT / THE IRRAWADDY| January 1, 2013 |

http://www.irrawaddy.org/archives/22719

The Monywa copper mine in Sagaing Regioin (Photo: JPaing / The Irrawaddy)

They are Myanmar’s biggest investors, but wherever their money goes, controversy and protests follow. Now the Chinese are facing growing competition for big contracts from the Japanese and South Koreans and, perhaps, soon the United States as well.

Chinese state or state-linked firms have focused on tapping into Myanmar’s natural resources—gas, hydro-energy, copper and timber—and hauling it off to China. But none of it has happened without allegations of land theft, displacement or environmental damage.

Observers say that China’s growing commercial influence in Myanmar was one of the factors which pushed the former junta generals to finally reform and open the country up to other investors. It is certainly true that one of the first major acts of the Thein Sein presidency was to stop Chinese construction of the controversial hydroelectric dam at Myitsone on the Ayeyarwady River.

Not only would most of the electricity generated by the project be pumped to China’s neighboring Yunnan Province, there would be massive relocation of communities and damage to fisheries and the downstream environment, numerous NGOs have said.

“Over the past two decades Burma’s leaders have become increasingly uncomfortable with their dependence on China for trade, aid and arms transfers,” said Ian Storey, a senior fellow at the Institute of Southeast Asian Studies.

“While their desire to reduce that dependence may not be one of the central drivers of the current reform process, it’s clear that their move to broaden the country’s foreign relations will ultimately erode China’s political influence and economic interests,” said Mr Storey in a commentary for the Singapore-based think-tank.

(Continued at the link below)

http://www.irrawaddy.org/archives/22719