Martin Jacques - When China Rules the World

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For well over two hundred years we have lived in a western-made world, one where the very notion of being modern is inextricably bound up with being western. The twenty-first century will be different. The rise of China, India and the Asian tigers means that, for the first time, modernity will no longer be exclusively western. The west will be confronted with the fact that its systems, institutions and values are no longer the only ones on offer. The key idea of Martin Jacques's ground-breaking new book is that we are moving into an era of contested modernity. The central player in this new world will be China. Continental in size and mentality, China is a 'civilisation-state' whose characteristics, attitudes and values long predate its existence as a nation-state. Although clearly influenced by the west, its extraordinary size and history mean that it will remain highly distinct, and as it exercises its rapidly growing power it will change much more than the world's geo-politics. The nation-state as we understand it will no longer be globally dominant, and the Westphalian state-system will be transformed; ideas of race will be redrawn. This profound and far-sighted book explains for the first time the deeper meaning of the rise of China.
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China Digital Times
Book Review: When China Rules the World
“When you’re alone and life is making you lonely, you can always go: downtown.” So warbled the British singer, Petula Clark in the 1960s. However, today if solitude is your constant companion, I would suggest that you purchase a copy of this riveting book and read it on the bus and in airports — as I have been doing in recent days, with the dramatic words on the bright red cover of this weighty tome blaring insistently — and no doubt you will find, as I have, that your reading reverie will be constantly interrupted by a stream of anxious interlopers curious to know what the future may hold.
For like Petula Clark, the author too hails from London, though the startling message he brings decidedly differs from her melancholy intervention. For it is the author’s conclusion that sooner rather than later, China — a nation ruled by a Communist Party — will have the most sizeable and powerful economy in the world and that this will have manifold economic, cultural, psychological (and racial) consequences. Strangely enough, Jacques — one of the better respected intellectuals in the North Atlantic community — does not dwell upon how this monumental turn of events occurred. To be sure, he pays obeisance to the leadership of Comrade Deng Xiaoping, who in 1978, opened China’s economy to massive inward foreign direct investment, which set the stage for the 21st Century emergence of the planet’s most populous nation. Yet, for whatever reason, Jacques — who once was a leading figure in the British Communist Party — does not deign to detail to the gentle reader how Beijing brokered an alliance with US imperialism, that helped to destabilize their mutual foe in Moscow, which prepared the path for the gargantuan capital infusion that has transformed China and bids fair to do the same for the world as a whole.
Still, it is noteworthy that this book’s back-cover carries blurbs from the conservative economic historian, Niall Ferguson of Harvard (Henry Kissinger’s authorized biographer); the leading historian, Eric Hobsbawm; the well-known Singaporean intellectual and leader, Kishore Mahbubani (who has written a book that mirrors Jacques’ earthshaking conclusions); and a raft of Chinese thinkers who do not seem displeased nor surprised by his findings.

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[527]Suntech Power Holdings, for example, has grown big and successful as China’s leading maker of silicon photovoltaic solar cells; Thomas L. Friedman, ‘China’s Sunshine Boys’, International Herald Tribune , 7 December 2006. Also ‘China Climbs Technology Value Chain’, South China Morning Post , 30 March 2007; Victor Keegan, ‘Virtual China looks for Real Benefits’, Guardian , 1 November 2007; ‘High-tech-Hopefuls: A Special Report on Technology in India and China’, The Economist , 10 November 2007.

[528]‘Chinese Patents in “Sharp Rise”’, posted on www.bloc.co.uk/news.

[529]‘ China Makes a Move into High-value Exports’, International Herald Tribune , 7 June 2007.

[530]‘Faced with a Steep Learning Curve’, Financial Times special report on global brands, 23 April 2007.

[531]Lee, ‘Strategic Alliances’, pp. 5–6.

[532]Nolan, Transforming China , p. 206.

[533]Ibid., pp. 205, 233-93.

[534]Nolan, China at the Crossroads , p. 24.

[535]Chunli Lee, ‘ China Targets Detroit ’, World Business , April 2006, pp. 30–32. Local car-makers dominate cars priced below RM 100,000 ($12,000); foreign car-makers all those above. Ibid., pp. 30–32; also ‘Minicars Drive Geely’, South China Morning Post , 16 September 2006.

[536]‘ India ’s Car for the Common Man’, posted on www.bbc.co.uk (accessed 13/5/08). Also Anand Giridharadas, ‘Spirit of Gandhi Inspires a Bargain’, International Herald Tribune , 8 January 2008.

[537]Chunli Lee, ‘Trends of Open Product Architecture and Internationalisation of Private Companies in the Chinese Automobile Industry’, Aichi University Economic Review , 169 (November 2005), pp. 3–5, 10–14, 23-5; Chunli Lee, Jin Chen and Takahiro Fujimoto, ‘Chinese Automobile Industry and Product Architectures’, unpublished paper; Chunli Lee, ‘Product Development by Chinese Automakers: The Dilemma of Imitation and Innovation’, unpublished working paper for International Vehicle Program, MIT, July 2007, pp. 1-30.

[538]Geely, for example, has announced that it will assemble cars in Indonesia; ‘Geely to Make Cars in Indonesia as Malaysia Refuses to Host Plant’, South China Morning Post , 28 September 2006. ‘Chery Gears Up for US Roll-out’, South China Morning Post , 26 April 2006.

[539]‘TCL to Close TV Factories in Europe’, South China Morning Post , 1 November 2006.

[540]‘ US Market is Losing Its Appeal to China ’, International Herald Tribune , 18 April 2007.

[541]‘ China ’s Plane Ambitions Take Off’, posted on www.bbc.co.uk/news.

[542]‘Airbus Near a Deal for Assembly Line in China ’, International Herald Tribune , 16 March 2006.

[543]‘Chinese Group to Bid for All Six Airbus Plants’, Guardian , 19 June 2007.

[544]‘Air Battle on the Ground in China ’, International Herald Tribune , 28 February 2007.

[545]‘China Plans Space Station in 2020’ and ‘China Launches First Moon Orbiter’, posted on www.bbc.co.uk/news.

[546]For the steady penetration of Chinese TV sets into the US market, see Shenkar, The Chinese Century , pp. 152-3; and China Goes Global (London: Financial Times , 2005).

[547]‘Faced with a Steep Learning Curve’, Financial Times special report on global brands, 23 April 2007; ‘China Aims for Spot among Top World Brands’, South China Morning Post , 5 October 2006.

[548]Lenovo is the world’s fourth biggest PC seller; Sonia Kolesnikov-Jessop, ‘Putting Lenovo’s Brand on the Global Map’, International Herald Tribune , 27-8 September 2008.

[549]‘PetroChina Overtakes Exxon After Shanghai Debut’, Financial Times , 5 November 2007; Gideon Rachman, ‘China Has Risen’, international affairs blog, Financial Times , 9 November 2007; also Andy Xie, ‘China’s Bubble May Burst But the Impact Will Be Limited’, Financial Times , 16 October 2007.

[550]‘A Complex Rationale for China ’s Raid on Rio ’, Financial Times , 13 February 2008.

[551]Lex, ‘Chinese Oil Majors’, Financial Times , 29 October 2008.

[552]‘ China Turns Risk Averse, Even as Capital Outflows Rise’, Financial Times , 17 January 2008.

[553]Nolan, Transforming China , pp. 222, 227-8.

[554]Lawrence Brainard and Jonathan Fenby, ‘Chinese Takeout’, Wall Street Journal , 20 February 2007.

[555]Barry Naughton, The Chinese Economy: Transitions and Growth (Cambridge, Mass.: MIT Press, 2007), p. 313.

[556]Geoff Dyer and Richard McGregor, ‘ China ’s Champions: Why State Ownership is No Longer Proving a Dead Hand’, Financial Times , 16 March 2008.

[557]Geoff Dyer and Richard McGregor, ‘ China ’s Champions: Why State Ownership is No Longer Proving a Dead Hand’, Financial Times , 16 March 2008.

[558]The figures in this section are mainly based on Hu Angang, ‘Five Major Scale Effects of China’s Rise’, unpublished seminar paper, East Asia Institute, National University of Singapore, 2005, pp. 1-14; also Angus Maddison, The World Economy: Historical Statistics (Paris: OECD, 2003).

[559]Yu Yongding, ‘The Interactions between China and the World Economy’, p. 4.

[560]‘The Dragon and the Eagle Survey’, The Economist , 2 October 2004, p. 29.

[561]See, for example, Roger F. Noriega, ‘China’s Influence in the Western Hemisphere’, statement before the House Sub-committee on the Western Hemisphere, Washington, DC, 16 April 2005; Prestowitz, Three Billion New Capitalists , p. 241; and Leni Wild and David Mepnam, eds, The New Sinosphere: China in Africa (London: Institute for Public Policy Research, 2006).

[562]Prestowitz, Three Billion New Capitalists , p. 240; Shenkar, The Chinese Century , p. 110; ‘Latin Textile Makers Feel Chinese Pressure’, International Herald Tribune , 2 April 2007.

[563]Prestowitz, Three Billion New Capitalists , p. 137.

[564]Ibid., p. 199.

[565]Shenkar, The Chinese Century , p. 113.

[566]Gary Clyde Hufbauer and Yee Wong, ‘Prospects for Regional Free Trade in Asia’, working paper, Institute for International Economics, Washington, DC, October 2005, p. 4; Prestowitz, Three Billion New Capitalists , p. 226.

[567]Yu Yongding, ‘ China ’s Rise, Twin Surplus and the Change of China’s Development Strategy’, pp. 26–30.

[568]‘ China ’s Reserves Near Milestone’, Wall Street Journal , 17 October 2006.

[569]Andrew Batson, ‘ China May Get More Daring With Its $1.07 Trillion Stash’, Wall Street Journal , 15 February 2007.

[570]‘ China Money Trouble: Where to Park It All’, International Herald Tribune , 6 March 2007.

[571]‘China Voices Alarm at Dollar Weakness’, Financial Times , 19 November 2007; Keith Bradsher, ‘Rising Cost of Buying US Debt Puts Strain on China’s Economy’, International Herald Tribune , 4 September 2008.

[572]Also, Lex, ‘ China and Fannie Mae’, Financial Times , 17 July 2008.

[573]‘ China Acts to Become Huge Global Investor’, International Herald Tribune , 10–11 March 2007.

[574]‘ Beijing to Take $3bn Gamble on Blackstone’, Financial Times , 18 May 2007.

[575]‘ China ’s Two Trillion Dollar Question’, editorial, Financial Times , 11 September 2008.

[576]For a broader view of the rise of such funds, see Martin Wolf, ‘The Brave New World of State Capitalism’, Financial Times , 16 October 2007.

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