VZCZCXRO7441
RR RUEHCN RUEHGH RUEHVC
DE RUEHBJ #1207/01 1260837
ZNR UUUUU ZZH
R 060837Z MAY 09
FM AMEMBASSY BEIJING
TO RUEHC/SECSTATE WASHDC 3831
INFO RUEHOO/CHINA POSTS COLLECTIVE
RHMFIUU/CDR USPACOM HONOLULU HI

UNCLAS SECTION 01 OF 02 BEIJING 001207 
 
DEPARTMENT FOR INR/R/MR, EAP/CM, EAP/PA, EAP/PD, C 
HQ PACOM FOR PUBLIC DIPLOMACY ADVISOR (J007) 
SIPDIS 
 
E.O. 12958:  N/A 
TAGS: OPRC KMDR CH PREL ECON
 
SUBJECT: MEDIA REACTION: U.S.-CHINA MILITARY RELATIONS, FINANCIAL 
CRISIS, A(H1N1) 
 
-------------------- 
  Editorial Quotes 
-------------------- 
 
¶1. U.S.-CHINA MILITARY RELATIONS 
 
a. "China rebuts U.S. Senior Official's criticism" 
 
The official Communist Party international news publication Global 
Times (Huanqiu Shibao)(05/06): "Michael Mullen indicated two days 
ago that China's efforts to strengthen the navy and air force are 
mainly pointed at the U.S. This is the first time that a U.S. 
official has directly pointed out that China's military strength 
development points at the U.S.  This type of sentiment will 
negatively influence the relationship.  It is irresponsible and will 
not benefit U.S.-China military relations.  Two years ago a military 
hot-line was established between the two countries.  And therefore, 
doubts between the two began to be resolved.  However, this year 
there have been frequent opinions concerning China's military threat 
within the U.S. military.  The bilateral trust has been challenged. 
The U.S. has complicated ideas about relations with China. On 
politically, the U.S. hopes that China will cooperate on their 
anti-terror war; economically, the U.S. needs China's help to walk 
away from the financial crisis; however, militarily, the U.S. is 
vigilantly against China. China should be vigilant concerning this 
new round of the 'China threat theory' jointly promoted by the U.S. 
and other countries.  The think-tanks in the U.S. have begun to take 
action. The U.S. should treat China's rise calmly. China's rise is 
inevitable." 
 
b. "Defense Official fires back at U.S. rhetoric" 
 
Global Times English (English-language daily published by the 
People's Daily): "An official at China's Ministry of National 
Defense told the Global Times yesterday on condition of anonymity 
that U.S. Admiral Michael Mullen's words were 'irresponsible and 
worked to the disadvantage of the development of Sino-US military 
relations.' ...'In sharp contrast to President Obama's live show, 
this guy is talking straight,' said Zhang Zhaozhong, a Rear Admiral 
of the People's Liberation Army (PLA), who said he doesn't believe 
that the U.S. will become a friend to China. Any 'cheers' given to 
China by other U.S. officials have been 'aimed at seeking economic 
help from China,' Zhang said. Zhang noted that the U.S. military 
budget for next year is $670 billion and there is no indication that 
the U.S. will sacrifice its military might. The reason the U.S. has 
delayed unveiling its military strategy is because it doesn't want 
to provoke other countries, Zhang said. 
 
Peng Guangqian, a major general, called Mullen's criticism on 
China's military development 'an old issue,' telling the Global 
Times yesterday that such claims are always used as a means to 
satisfy America's own needs. Peng said that the U.S. has a complex 
anxiety disorder on China's development and always worries that 
other countries will challenge its own dominance.  And Li Jie, a 
military expert on the Chinese Navy, told the Global Times that 
Mullen's words are unfounded, as the U.S. is so strong and its 
military spending equals that of more than a dozen countries 
combined. However, the challenge emerging from China is even more 
formidable than some Middle East territorial concerns..."China 
sticks to the path of peaceful development and pursues a defensive 
defense policy," said Ma Zhaoxu, spokesman of the Chinese Foreign 
Ministry, at a regular press conference yesterday. 
 
'The U.S. has successfully coaxed Australia into approving a 
military budget of $70 billion to boost its defenses over the next 
20 years,' Zhang said.  Wang Haiyun, a senior consultant at the 
China Center for International and Strategic Studies, argued that 
China's military build-up is out of the necessity to safeguard its 
state sovereignty, given that it is facing a grave security 
situation. 
It is only natural for China to build up its military. 
 
¶2. FINANCIAL CRISIS 
 
"Don't expect the world economy to return to its original status" 
 
The official Communist Party international news publication Global 
Times (Huanqiu Shibao)(05/06): "Recently, rumors have spread that 
the world economy and the Chinese economy have hit bottom. However, 
the future is not optimistic for the global economy.  Currently, the 
financial crisis is still the main crisis. The root cause of this 
crisis is the related nature of finance and currency. This has 
developed into a broader and more serious economic crisis. This 
crisis has severely damaged the original economic order. The 
economic divisions of the world have been impacted.  China's 
economic prosperity relies on comparative advantages.  If China 
can't utilize these advantages, it has to go through a long and hard 
process of adjustment.  Enlarging domestic needs is a good 
 
BEIJING 00001207  002 OF 002 
 
 
resolution. It is easy to enlarge investment needs, but difficult to 
enlarge consumption needs.  Excessive capital will suppress 
consumption.  What's more, technological renovation is also 
important.  It will urge the Chinese to spend money in their 
country." 
 
¶3. A(H1N1) 
 
"North America complains about the over reaction to the virus" 
 
The official Communist Party international news publication Global 
Times (Huanqiu Shibao)(05/06): "There are increasing complaints from 
the affected areas in North America concerning the over reactions to 
the virus. These complaints have obviously influenced western media. 
There are also complaints about the reaction of the WHO. The 
officials of the WHO have expressed that before people really know 
what the new virus is and how it spreads; any kind of prevention 
measure is understandable. It is too early to claim that there have 
been over reactions. Canada also cannot understand China's isolation 
measures. Chinese experts indicate that the A(H1N1) virus has, once 
again brought up the security issues experienced during the SARS 
episode. Chinese people realize that this issue is not just a public 
health issue, but also an issue concerning national security. The 
A(H1N1) virus is still unknown and unpredictable.  It should be 
understandable that a country has to make preparations according to 
the worst situation possible.  Any sentimental comments will be 
helpless." 
 
PICCUTA