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  • Author: Luke Patey, Michal Meidan
  • Publication Date: 11-2016
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: The size and sophistication of Chinese foreign investment is on the rise. In 2014, inbound investment to China was outpaced by outbound investment for the first time. Chinese foreign investment has surpassed the $100 billion mark for the past three years, making China the third largest overseas investor. At the same time, beyond oil and gas, which dominated headlines over the past decade, Chinese state-owned enterprises and private corporations are making multi-billion dollar investments in construction, telecommunications, nuclear, and high-tech across the globe. What political and security implications do these new investment have for host government in North America and Europe? What is the view point of Beijing towards the growing reach of its corporations overseas? A new policy brief by Michal Meidan, research associate at Chatham House and Asia Analyst at Energy Aspects, and DIIS senior researcher Luke Patey explores these questions.
  • Topic: Globalization, International Political Economy, International Trade and Finance
  • Political Geography: China, Global Focus
  • Author: Yang Jiang, Aki Tonami, Adam Moe Fejerskov
  • Publication Date: 11-2016
  • Content Type: Policy Brief
  • Institution: Danish Institute for International Studies
  • Abstract: China actively seeks to expand its overseas investment in critical infrastructure. This involvement makes host countries uneasy especially in the West, even though financial benefits sometimes override broader national interests and security issues. China’s attempts to invest in overseas critical infra- structure, defined as infrastructure closely related to sovereignty and national security, has become a sensitive issue to host country governments parti- cularly in the West. They fear that Chinese investment in nuclear and telecommunications infrastructures entails consequences for nuclear security and safety and information security respectively. This policy brief provides an overview of how various countries have received Chinese interest in nuclear power and telecommunications.
  • Topic: International Political Economy, International Security, Nuclear Power, Geopolitics
  • Political Geography: China, Global Focus
  • Author: Bøje Forsby
  • Publication Date: 09-2016
  • Content Type: Special Report
  • Institution: Danish Institute for International Studies
  • Abstract: As an important commercial gateway and a rich source of natural resources, the South China Sea holds great economic and strategic significance. This is manifested not only in the conflicting territorial and maritime claims of the coastal states, but also in the simmering geopolitical rivalry between an increasingly self-assertive China and a United States bent on `rebalancing´ China’s growing power in the region. This new DIIS report by Andreas Bøje Forsby examines recent development trends in the South China Sea, focusing primarily on three key areas: China’s growing assertiveness in the South China Sea, the rebalancing efforts of the United States in the region and the recently-concluded arbitration case between the Philippines and China concerning their maritime dispute in the South China Sea.
  • Topic: Geopolitics
  • Political Geography: China
  • Author: Kenneth B. Moss
  • Publication Date: 05-2014
  • Content Type: Policy Brief
  • Institution: Danish Institute for International Studies
  • Abstract: Cyber technology could change not only the conduct of war itself; it could alter the way governments and others initiate hostilities and war. Existing international laws need to be reviewed to make sure they address the capabilities and accountability of cyber operations in conflict and war, and the participation of China, Russia and other states in negotiations is critical.
  • Topic: International Law, Science and Technology
  • Political Geography: Russia, China
  • Author: Hans Mouritzen (ed), Nanna Hvidt (ed)
  • Publication Date: 06-2013
  • Content Type: Book
  • Institution: Danish Institute for International Studies
  • Abstract: This year's volume presents the official outline of Denmark's foreign policy in 2012 by Claus Grube, Permanent Secretary of State for Foreign Affairs. Besides that Ravinder Kaur contributes with the first academic inquiry into the causes of the Danish-Indian diplomatic deadlock in the extradition case concerning Niels Holck (the prime accused in the Purulia arms drop case). Mette Skak addresses the role of the emerging BRICS powers (Brazil, Russia, India, China, and South Africa) in Danish foreign policy and offers her policy recommendations. Hans Branner shifts to a diachronic perspective. In his article about Denmark 'between Venus and Mars' he stresses elements of continuity in Danish foreign policy history; activism is not solely a post-Cold War phenomenon. Derek Beach turns to the scene of the current European economic crisis, analysing and interpreting the Fiscal Compact agreed during the Danish EU Presidency.
  • Topic: Foreign Policy, Diplomacy, Economics, International Affairs, Financial Crisis
  • Political Geography: Russia, China, Europe, India, South Africa, Brazil, Denmark
  • Author: Jakob Vestergaard, Robert Hunter Wade
  • Publication Date: 12-2013
  • Content Type: Policy Brief
  • Institution: Danish Institute for International Studies
  • Abstract: More than three years after the International Monetary Fund (IMF)'s governing body agreed to reform the organization's governance so as to better reflect the increasing economic weight of dynamic emerging market economies in the world economy, only microscopic changes have been made. Emerging market and developing countries (EMDCs) have become increasingly frustrated with Western states for clinging to their inherited power, in the IMF and other important international economic governance organizations. The emerging cooperation among the BRICS (Brazil, Russia, India, China, South Africa) – as seen in the advanced-stage negotiations to establish a Development Bank and a Contingent Reserve Arrangement – sends a “wake up and smell the coffee” call to the West, and the latter will carry a heavy responsibility for eroding global multilateral governance if it continues to drag its heels on the needed adjustments.
  • Topic: Development, Economics, Emerging Markets, International Monetary Fund, Governance, Reform
  • Political Geography: Russia, China, India, South Africa, Brazil
  • Author: Lars Erslev Andersen
  • Publication Date: 06-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: The global balance of power is changing, and the role of the US as the only superpower is being challenged by emerging new powers and a still more powerful China. Nowhere is this more apparent than in the Persian Gulf. This Working Paper by DIIS researcher Lars Erslev Andersen argues that if we are fully to understand the developments in the Persian Gulf we need to analyze the Persian Gulf as a regional security complex in its own right. The argument is developed empirically with reference to the case of Bahrain.
  • Topic: Foreign Policy, International Trade and Finance, International Affairs, Power Politics
  • Political Geography: United States, China, Middle East, Arabia, Bahrain
  • Author: Erik Beukel
  • Publication Date: 07-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: The divided Korean peninsula is a flashpoint in the regional security complex in East Asia. The central issue is the threat posed by North Korea and how to meet it. After a review of North Korea as an international actor and of two important incidents in 2010 (the sinking of the South Korean naval ship Cheonan and North Korea's shelling of the South Korean coastal island of Yeonpyeong), the rationality underlying the country's military efforts is considered. South Korea's Nordpolitik is reviewed and the rise and decline of its sunshine policy and the role of its alliance with the United States is described. Two non-Korean great powers, China and the United States, are important actors in the region, and their relations with North Korea, goals and priorities, and implementation strategies are outlined. The report concludes with reflections on the potential for changing the present security complex, which is marked by a fear of war, into a restrained security regime, based on agreed and observed rules of conduct.
  • Topic: Conflict Resolution, Security, Foreign Policy, Cold War, Communism, Weapons of Mass Destruction, Bilateral Relations
  • Political Geography: United States, China, Israel, East Asia, Korea, Island
  • Publication Date: 02-2012
  • Content Type: Policy Brief
  • Institution: Danish Institute for International Studies
  • Abstract: OECD donors, international organisations and non-governmental organisations are increasingly cooperating with China in Africa. This policy brief offers recommendations for policy-makers on how to lay the groundwork for such cooperation. It also stresses that the involvement of African partners is critical in fully realizing the benefits such cooperation can provide for sustainable development.
  • Topic: Foreign Policy, Development, Diplomacy, Economics, Foreign Aid, Foreign Direct Investment
  • Political Geography: Africa, China
  • Author: Erik Beukel
  • Publication Date: 02-2011
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: The Sino-Japanese relationship is a highly complex one, marked both by Japan's aggressive wars from the 1930s on and the present economic interdependence between the two countries. Focusing on the role of the territorial conflict in the East China Sea, this DIIS Report considers how China's leaders handle anti-Japanese nationalism by adopting a Janusian stance and pursuing both China's basic interest in close economic relations with Japan and also domestic stability. After a review of Chinese and Japanese sovereignty claims in the area and of the rise of nationalism since the early 1980s, four crises over the East China Sea are examined to identify the character of and changes in China's policy. For the last ten years China's leaders have attempted to conduct a more pragmatic policy towards Japan and evade the pernicious shadow of history. But this policy faces critical problems both in a growing popular nationalism in China and in the Japanese government's lack of willingness to restrain their own nationalists and the absence of legal possibilities for them to do so.
  • Topic: Conflict Resolution, Economics, Bilateral Relations
  • Political Geography: Japan, China, Israel, Asia
  • Author: Andreas Bøje Forsby
  • Publication Date: 12-2011
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: What are the implications of China's rapid rise for international order? This report seeks to answer the question from an identity perspective. The key argument is that China is currently undergoing an identity shift towards Sino-centrism, that is, a self-centering tendency to turn narrative attention towards the internally generated, specifically Chinese hallmarks associated with China's civilizational past and cultural heritage.
  • Topic: International Relations, Security, Foreign Policy, Culture
  • Political Geography: China, Israel
  • Author: Erik Beukel
  • Publication Date: 01-2010
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: The South China Sea is subject to competing claims of sovereignty by the littoral states. Due to the number of claimants and the complexity of claims, it is called the “mother of all territorial disputes”. China is far the biggest country in the region and claims sovereignty over almost all the South China Sea. This Working Paper elaborates the claims and considers the implications for China's neighborhood relations and the alignments in the Asia-Pacific. The focus is on two faces of power in China's policy, military power and soft power, after China's seizure of Mischief Reef in 1995 that upset its neighbors. China attaches great weight to developing good neighborhood relations and has become an advocate of soft power. However, when it concerns the South China Sea the soft power approach is combined with a continuing use of military power to strengthen its position. It is concluded that the two faces of power present China with new unwieldy challenges.
  • Topic: International Relations, Territorial Disputes
  • Political Geography: China, Israel, Southeast Asia
  • Author: Daniel Large, Luke Patey
  • Publication Date: 11-2010
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: Sudan is at an important, historic moment. The upcoming referendum vote may very likely result in the South becoming an independent state. Since the landmark signing of the Comprehensive Peace Agreement in 2005, China, and to a lesser extent India, have become even more important political and economic partners of the ruling National Congress Party in Khartoum. Generally, commentaries and studies covering China and India's relations with Sudan focus on their interactions with the central government in Khartoum. However, this paper finds that both have also followed a necessary hedging strategy by establishing quasi-diplomatic relations with the Sudan People's Liberation Movement-run Government of Southern Sudan in Juba. Both have expanded economic and political relations beyond investment in Sudan's oil sector and beyond merely engaging Khartoum. Chinese and Indian engagement with the GOSS in Juba marks a major shift in policy from dealing exclusively with the central government. The adaptation of both to political developments, however, does not leave them invulnerable to present uncertainties revolving around Sudan's potential split. Due to its economic role in Sudan, China in particular is in a unique position to promote a peaceful transition.
  • Topic: Democratization, Diplomacy, Peace Studies, Treaties and Agreements, Territorial Disputes, Peacekeeping
  • Political Geography: Africa, China, Sudan, India
  • Author: Trine Flockhart, Li Xing
  • Publication Date: 12-2010
  • Content Type: Policy Brief
  • Institution: Danish Institute for International Studies
  • Abstract: The re-emergence of China as a key political and economic actor since the liberalization of the late 1970s may well turn out to be one of the most important developments in recent world history. China's economic impact is already felt worldwide, cemented by China's new status as the world's second largest economy, after it overtook Germany in 2009 and Japan in 2010. The question now is what impact China's increasing economic and political power will have on the existing international system and established institutional order, built largely on Western principles and liberal values that are not shared by China.
  • Topic: Globalization, International Cooperation
  • Political Geography: United States, Japan, China, Europe
  • Author: Sam Jones
  • Publication Date: 01-2008
  • Content Type: Policy Brief
  • Institution: Danish Institute for International Studies
  • Abstract: The current boom in global commodity prices and the expansion of Chinese interests in sub-Saharan Africa are part of a general warming of external investors to the region. This policy brief examines trends in commercial financial instruments such as equities, bonds and commercial bank lending and their impact on economic development. It reviews the nature and behaviour of these instruments in developing countries compared with more traditional development finance, such as foreign aid. This provides a foundation for analysing past and present trends in sub-Saharan Africa. It is argued that, like many other low income countries in the past, sub-Saharan Africa has received negligible inflows of external commercial financing. If anything, the region has been additionally excluded from these flows due to very weak levels of financial sector development even compared to other low income countries. At the same time, recent changes in global and domestic conditions mean that the situation is evolving rapidly. There is mounting evidence to show that many economies in sub-Saharan Africa are enjoying significantly expanded access to commercial external capital flows. Given good prospects that this trend will continue, the playing field for traditional donors is likely to alter significantly. The brief concludes by reflecting on how donors might respond to these emerging policy challenges.
  • Topic: Development, Markets, Non-Governmental Organization
  • Political Geography: Africa, China
  • Author: Luke Patey
  • Publication Date: 05-2007
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: In 1999, Sudan shipped its first barrel of oil to the international market. It did so with one civil war painfully continuing between the Khartoum government and the Sudan People's Liberation Army, unrest threatening the petroleum pathway along the pipeline route in the East, and a growing conflict in the western province of Darfur. This was not a rare occurrence in Africa. Nigeria and Angola had experienced the paradoxical duality of the economic progression of oil development; a one-sided affair simply benefiting the ruling elite, while the majority of the population suffered civil war and unrelenting poverty. However, unlike previous cases of the 'resource curse' in Africa, what seems to be a growing trend took shape in Sudan with the engagement of Asian investors, particularly China, in the development of its oil industry. While Asian investment initially took place alongside Western oil companies, state-owned enterprises from China, Malaysia, and India later came to dominate the sector. Nonetheless, whether this investment will deviate from the historical norm of fuelling civil war and underdevelopment has yet to be seen.
  • Topic: Conflict Resolution, Civil War, Oil
  • Political Geography: Africa, China, Sudan, Darfur, Malaysia, India, Nigeria, Angola, Khartoum
  • Author: Niels Aadal Rasmussen
  • Publication Date: 02-2007
  • Content Type: Policy Brief
  • Institution: Danish Institute for International Studies
  • Abstract: Since China has an interest in delivery systems of Weapons of Mass Destruction, and the main strategic capability available to the country is missile technology, China has a range of ballistic and cruise missile capabilities. China's technology export or proliferation of ballistic missile technology is of particular and serious concern. China has not joined the Missile Technology Control Regime (MTCR), but has applied for membership and pledged to abide by its main control mechanisms. The Brief concludes that it seems unhelpful to deny China's accession to the MTCR on the grounds of inadequate missile export control, in stead of seeking ways to bring China's missile technology export control policy and infrastructure to the acceptable level. The MTCR in the present international situation appears increasingly less dependent on exclusively bringing likeminded countries inside the regime and more on inclusiveness.
  • Topic: Defense Policy, International Political Economy, Science and Technology, Weapons of Mass Destruction
  • Political Geography: China
  • Author: Niels Aadal Rasmussen
  • Publication Date: 02-2007
  • Content Type: Policy Brief
  • Institution: Danish Institute for International Studies
  • Abstract: Since China has an interest in delivery systems of Weapons of Mass Destruction, and the main strategic capability available to the country is missile technology, China has a range of ballistic and cruise missile capabilities. China's technology export or proliferation of ballistic missile technology is of particular and serious concern. China has not joined the Missile Technology Control Regime (MTCR), but has applied for membership and pledged to abide by its main control mechanisms. The Brief concludes that it seems unhelpful to deny China's accession to the MTCR on the grounds of inadequate missile export control, instead of seeking ways to bring China's missile technology export control policy and infrastructure to the acceptable level. The MTCR in the present international situation appears increasingly less dependent on exclusively bringing likeminded countries inside the regime and more on inclusiveness.
  • Topic: Security, Science and Technology, Weapons of Mass Destruction
  • Political Geography: China, Asia