The China, U.S., Sudanese Triangle of Oil and Death

October 2, 2010

Most of what I hear about China in Sudan from the Western media makes China look bad, because they are supporting Sudan’s Omar al-Bashir, who has been charged with genocide, crimes against humanity and war crimes by the ICC (International Criminal Court).

After reading an extensive post about this at China Matters, my opinion changed.

I learned that in 2000, President Clinton was opposed to any kind of rapprochement with Sudan and spared no effort to further isolate the African-Arab country at both regional and international levels.

Then G.W. Bush became president and reversed U.S. policy toward Sudan, an oil-rich country.

China Matters reproduced a 2006 post called “The Twisted Triangle” that had a wealth of detail about the Bush administration’s “forgotten” courtship of Omar al-Bashir.

In short, America was competing with China for access to Sudanese oil and the Chinese won the chess game.

Curious, I turned to Western media sources to see what they were currently saying about China in Sudan.

In an August 2010 Reuters piece, China was portrayed as uncooperative.

Then the Telegraph in the UK says that China’s stake in Sudanese oil has made China Mr. al-Bashir’s only friend among the leading powers, while human rights groups have called for an oil embargo on Khartoum.

Without mentioning what President G .W. Bush’s administration did in Sudan, the Telegraph concludes by saying that America formally banned its companies from investing there and European firms avoid the protests that would accompany any involvement with al-Bashir’s militant Muslim regime.

Did America put that ban in place before or after the Bush administration lost the chess game over Sudanese oil to China?

See China’s Oil Hunger Grows

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Lloyd Lofthouse is the award-winning author of the concubine saga, My Splendid Concubine & Our Hart. When you love a Chinese woman, you marry her family and culture too. 

If you want to subscribe to iLook China, there is a “Subscribe” button at the top of the screen in the menu bar.

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Posted by Lloyd Lofthouse

Keeping the Rare Earths in China

October 1, 2010

At one time, it must have seemed like a good idea to allow China to process 90% of the earth’s supply for rare earth oxides/metals.

After all, rare earths are dangerous and costly to extract and the extraction methods used in China are highly toxic. The Economist reports that there have been horror stories about poisoned water supplies.

The thinking around the world must have been, “Better that China wrecks its environment than us.”


The Other Side of the Story

These rare earth-based metals are important in manufacturing sophisticated products such as flat-screen monitors, hybrid and electric-car batteries, wind turbines, aerospace alloys and high-tech weapons, which the U.S. needs to fight wars.

Then China became angry when Japan arrested a Chinese fishing boat captain whose trawler collided with a Japanese patrol boat in contested waters.

What China did to force the Japanese to do what China wanted caused the rest of the world to sit up.

China shut off the supply of rare earths to Japan.

A report from Reuters by Julie Gordon says this caused companies that depend on rare earths to struggle to secure a supply. It also woke up the rest of the world—a lesson learned that you don’t keep all the eggs in a basket that you don’t own.

See Hitting Endless Home Runs

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Lloyd Lofthouse is the award-winning author of The Concubine Saga. When you love a Chinese woman, you marry her family and culture too. This is the love story Sir Robert Hart did not want the world to discover.

To subscribe to “iLook China”, look for the “Subscribe” button at the top of the screen in the menu bar, click on it then follow directions

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Posted by Lloyd Lofthouse

David – (Discovering that The World is a Global Market)

September 30, 2010

Guest post by Bob Grant
First published at Speak Without Interruption on September 22, 2010. Republished here with permission.

 The world is a global market – those businesses that don’t believe this, or embrace it, will go by the wayside.

In 2002, I was an independent manufacturer’s rep and one of my customers said that I should look at branching out – representing products “outside” of the U.S.

I thought this was good advice, so I first started looking in Europe.  For many reasons – after trying many companies and products – I decided that Europe was not for me. 

I then looked and visited Korea, Malaysia, Indonesia, and China. 

I settled on China because I felt that was a country that could best provide me with the products I needed to succeed. 

Once I settled on a product category, I then knew that I needed one key person inside China to make it all come together and become successful. 

It took me a year to find that person and his name is David.  Without David, I would not be where I am today and I am forever indebted to this young man.

Bob Grant with David’s family in China.

David and I had some very productive years together. 

Then like most things that are successful – there was a down turn.  This was due to the world economy and actions taken by both the Chinese and U.S. Governments. 

Through no fault of our own our business died. However, David has stuck with me and I with him.  We are now working on new projects that we both hope – and feel – will get us back some of the volume we have had in the past.

I never had a son and David became that son to me.  He and his family have also adopted me as part of their own. 

It saddens me when I read statements about China and its people that just are not true.  I can only testify to my own experiences and connections inside China but I would not trade the relationships I have made for anything. 

David and his family are a key part of my life and forever will be – regardless of what the governments of our respective countries might say and do.

See more of Bob Grant’s guest posts – start with Not All Factories in China are Sweat Shops

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Lloyd Lofthouse is the award-winning author of the concubine saga, My Splendid Concubine & Our Hart. When you love a Chinese woman, you marry her family and culture too. 

If you want to subscribe to iLook China, there is a “Subscribe” button at the top of the screen in the menu bar.

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Posted by Lloyd Lofthouse

Some Rules are Meant to be Broken

September 21, 2010

Global warming, fossil fuels with an expiration date, oceans turning acidic threatening life as we know it, polluted air and water, and the U.S. slogs along burdened with rules, regulations and red tape when it comes to the environment and green energy, which is necessary if we want our civilization to survive.

In China, that challenge doesn’t exist and Western countries and the World Trade Organization burdened with bureaucratic red tape are complaining.

The New York Times with Reuters writes a piece about Global Business and headlines it On Clean Energy, China Skirts Rules.

Who cares?  If China is getting the job done and that leads to cleaner air, water and energy, I say go for it.

In fact, the U.S. and other countries should look to China as a role model in this area. 

However, considering partisan politics in the U.S. and the GOP of “NO”, America may have already lost the race.

What does that mean in a century or two?

The New York Times piece I’m talking about was written by Keith Bradsher, and it was educational. 

By the time, I finished reading the long piece, I knew why the West isn’t weaning itself off oil any time soon, while China appears to be moving fast in that direction.

Why can’t the West play the game by China’s rules?

After all, according to Sun Tzu and the Art of War, which applies to business, you do what you must to win. 

If Western countries are so rigid they can’t adapt, that means another expiration date.

Also see China’s Going Green Challenge

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Lloyd Lofthouse is the award-winning author of the concubine saga, My Splendid Concubine & Our Hart. When you love a Chinese woman, you marry her family and culture too. 

If you want to subscribe to iLook China, there is a “Subscribe” button at the top of the screen in the menu bar.

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Posted by Lloyd Lofthouse

Business is a Global War

September 18, 2010

Like war, running a successful business is a challenge. To win, you cannot be merciful and give your competition the edge in price or quality.

If you read or listen to the media or Blogosphere in the U.S., it sounds as if China is the only country that is unfair in business.

However, there’s much that goes on most Westerners never hear or admit.

For example, the U.S. might be China’s biggest customer but that only represents about 18% of what China sells to the world.

In fact, Suite 101 listed a decline for Chinese 2009 global exports, which was estimated to be $1.19 trillion (in U.S. Dollars), and China imported $922 billion worth of products from other countries, down 18.5% from 2008.

Matthew Knight for CNN reported that Business is war, learn from the battlefield….

It seems that a few U.S. businesses may be listening and learning – at least the survivors, who are too busy counting profits.

According to the China Law Blog, several U.S. companies that manufacture in the U.S. and export to China dropped prices as high as 70% when a Chinese company started to compete by selling similar products.

When that happened, the Chinese companies had trouble competing because the prices of the U.S. equipment were dropped well below the prices set by domestic manufacturers in China.

After all, isn’t all fair in love, war and business and to the victor the spoils.

When U.S. once manufactured and sold more than 90% of U.S. cars globally, we didn’t hear GM, Ford or Chrysler complaining about the competition because they were the winners – now some Americans complain. 

Isn’t that the same as being a bad sport?

“It is a well-known fact that 80% of small businesses fail each year in the United States…. One key reason is that many people…have no idea what they’re getting into”. Source: Googobits.com

See Doing Business in China

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Lloyd Lofthouse is the award-winning author of the concubine saga, My Splendid Concubine & Our Hart. When you love a Chinese woman, you marry her family and culture too. 

If you want to subscribe to this Blog, there is a “Subscribe” button at the top of the screen in the menu bar.

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Posted by Lloyd Lofthouse

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