China and the Global South report for Philippine Studies 282. Asian Center, University of the Philippines - Diliman.

1. CHINA AND THE GLOBAL SOUTHCHINA AND THE GLOBAL SOUTHCHINA AND THE GLOBAL SOUTHCHINA AND THE GLOBAL SOUTH
PS 282, 2nd sem AY 2012-2013 (July 6, 2013)
Report by Kristine Sabillo, MA Philippine Studies, Asian Center,
University of the Philippines - Diliman

2. FAST FACTS ABOUT CHINAFAST FACTS ABOUT CHINAFAST FACTS ABOUT CHINAFAST FACTS ABOUT CHINA
– World’s most populous country
– Found in East Asia
– Single-party state w/ jurisdiction over
22 provinces, 5 autonomous regions, 4
direct-controlled municipalities and 2
– Now the 2nd largest economy
– Initiated market reforms since
1978, from centrally planned to
market-based economy
–
direct-controlled municipalities and 2
special administrative regions (Hong
Kong & Macau) + Taiwan
Date 2Footer
market-based economy
– BUT…China is still a developing
country

3. CHINA AS PART OF GLOBAL SOUTHCHINA AS PART OF GLOBAL SOUTHCHINA AS PART OF GLOBAL SOUTHCHINA AS PART OF GLOBAL SOUTH
• From ADB’s 2010 The Rise of Asia’ Middle Class
– Second level
• Third level
– Fourth level
» Fifth level» Fifth level
Date 3Footer

4. CHINA AS PART OF GLOBAL SOUTHCHINA AS PART OF GLOBAL SOUTHCHINA AS PART OF GLOBAL SOUTHCHINA AS PART OF GLOBAL SOUTH
• World Bank indicators: upper middle income
• From 84% poverty incidence in 1981 to 12% in 2010. But poor people still number around
almost 100 million.
• High inequality – flow of rural migrants to cities, low-end jobs competitive, keeping wages low
•
High inequality – flow of rural migrants to cities, low-end jobs competitive, keeping wages low
• US dollar billionaires in China increased from 130 in 2009 to 251 in 2012, giving China the
world's second-highest number of billionaires
• Challenges to environmental sustainability,
pollution
• Human rights issues
Date 4Footer

5. CHINA ECONOMIC RELATIONSCHINA ECONOMIC RELATIONSCHINA ECONOMIC RELATIONSCHINA ECONOMIC RELATIONS
• Recently, the World Trade Organization
asked China to lead multilateral trade and
work with the US, EU and Japan in
formulating a new global trade agenda.
WTO recognizes China as a bridge
between emerging economies and
developed countries.developed countries.
• IMF Growth projections:
Date 5Footer
2011 2012 2013* 2014*
Advanced economies 1.6% 1.2% 1.2% 2.2%
China 9.3% 7.8% 8% 8.2%
ASEAN 5 (Indonesia, Malaysia, Philippines, Thailand, Vietnam) 4.5% 6.1% 5.9% 5.5%
Latin America & Caribbean 4.6% 3% 3.4% 3.9%
Middle East, North Africa, Afghanistan, Pakistan 3.9% 4.7% 3.1% 3.7%
Sub-Saharan Africa 5.3% 4.8% 5.6% 6.1%

6. CHINA ECONOMIC RELATIONSCHINA ECONOMIC RELATIONSCHINA ECONOMIC RELATIONSCHINA ECONOMIC RELATIONS
Who invests in
China:
– Hong Kong
– British Virgin Islands
– Japan
Where China
invests:
– Hong Kong
– Cayman Islands
– British Virgin Islands
• China continued to be ASEAN’s largest trading
partner since 2009. Trade between ASEAN and
China increased by 20.9% from US$232 billion
in 2010 to US$280.4 billion in 2011
• ASEAN exported US$145.7 billion, an increase
of 28.9% compared to the previous year.
Imports from China grew by 13.2% amounting– Japan
– South Korea
– United States
– Taiwan
– Singapore
– Cayman Islands
– Germany
– West Samoa
Date 6Footer
– British Virgin Islands
– Australia
– South Africa
– Singapore
– United States
– Canada
– Russia
– Myanmar
Imports from China grew by 13.2% amounting
to US$134.7 billion.
• ASEAN is currently China’s third largest
trading partner, stepping up from fourth place
in 2010
• foreign direct investment flow from China to
ASEAN increased significantly by 117% from
US$2.7 billion in 2010 to US$5.9 billion in
2011

7. RPRPRPRP----CHINA ECONOMIC RELATIONSCHINA ECONOMIC RELATIONSCHINA ECONOMIC RELATIONSCHINA ECONOMIC RELATIONS
• Extensive economic ties since 7th century
• Establishment of diplomatic relations on June 9, 1975
• Stronger mutual trade and investments starting 21st century
• China is Philippines’ top 3 trading partner in 2010. It is also the country’s 4th
largest export market and 5th largest supplier of imports in 2006. China is also 9thlargest export market and 5 largest supplier of imports in 2006. China is also 9
top foreign investor in 2010 and 4th largest source of tourists in 2012.
• Top 5 products exported to China: electrical products, copper cathodes, nickel ores
and concentrates, other coal, copper ores and concentrates
• Top 5 products imported by the Philippines from China: electronics, office machine
parts, LPG, urea, ceramic products
• Bilateral agreements: agriculture, railways, finance
SOURCES: NSO, DFA
Date 7Footer

8. OFWs in CHINAOFWs in CHINAOFWs in CHINAOFWs in CHINA
2004 2005 2006 2007 2008 2009
Hong
Kong
87,254 94,553 7% or
106,050
6.7% or
117,049
5.9% or
118,118
6% or
114,720
Taiwan 45,059 46,714 6.1% or
92,415
5.5% or
96,085
4.2% or
84,084
3.4% or
65,008
East Asia
(others)
3.5% or
53,025
3.1% or
54,157
3.6% or
72,072
3.5% or
66,920
China 0.83% or
• ISSUES
– Undocumented OFWs (8,954 documented in 2010, undocumented?)
– Filipinos on death row (over 70 now, executed Ramon Credo, Sally Villanueva and Elizabeth
Batain, etc.); drug problem in China
– State of OFWs in China (inc Hong Kong): foreign house helpers not allowed in China
except to work for diplomats
– Others
Date 8Footer
China 0.83% or
8,771

9. CHINACHINACHINACHINA----ASEAN SECURITY CONCERNSASEAN SECURITY CONCERNSASEAN SECURITY CONCERNSASEAN SECURITY CONCERNS
• Territorial disputes as a main source of friction between China and
ASEAN nations.
• 1993 creation of the ASEAN Regional Forum intended to engage
China in dialogue
• South China Sea – marginal sea, part of the Pacific Ocean; one-third• South China Sea – marginal sea, part of the Pacific Ocean; one-third
of the world’s shipping transit through its waters, 2nd most used sea
lane, believed to hold huge oil and gas reserves
– Contains over 250 islands and other features grouped into: Spratly Islands, Paracel Islands,
Pratas Islands, Macclesfield Bank and Scarborough Shoal
– Located south of China and Taiwan, west of Philippines, north west of Sarawak, Sabah
and Brunei, north of Indonesia, northeast of Malay Peninsula and Singapore, east of
Vietname
Date 9Footer

10. CHINACHINACHINACHINA----ASEAN SECURITY CONCERNSASEAN SECURITY CONCERNSASEAN SECURITY CONCERNSASEAN SECURITY CONCERNS
• In 1992, China passed a new law
on its Territorial Sea and
Contiguous Zone reiterating claim
over Paracels (Xisha), Spratlys
(Nansha), Macclesfield
Date 10Footer
over Paracels (Xisha), Spratlys
(Nansha), Macclesfield
(Zhongsha), Pratas (Dongsha),
Pescadores (Penghu islands west
of Taiwan) and Diaoyu (Japan’s
Senkaku) islands.
• Map from SEASissues.org

11. CHINACHINACHINACHINA----ASEAN SECURITY CONCERNSASEAN SECURITY CONCERNSASEAN SECURITY CONCERNSASEAN SECURITY CONCERNS
Date 11Footer
• Map from SEASissues.org

12. CHINACHINACHINACHINA----ASEAN SECURITY CONCERNSASEAN SECURITY CONCERNSASEAN SECURITY CONCERNSASEAN SECURITY CONCERNS
• Claims:
Area Location Claimants Basis
Spratly islands Off the coast of PH,
Sabah and Vietnam
PH (Kalayaan),
Malaysia, Vietnam,
China, Taiwan, Brunei
UNCLOS, historical
account
Paracel islands Off the coast of China
and Vietnam
China, Taiwan, Vietnam Historical account,
UNCLOS
Date 12Footer
and Vietnam UNCLOS
Pratas islands Southeast Hong Kong China, Taiwan, Japan Historical accounts
Macclesfield
Bank
East of Paracel China, Taiwan,
Vietnam?
UNCLOS
(underwater?)
Scarborough
Shoal
West Philippines
(Luzon)
PH (Panatag), China,
Taiwan, Vietnam
UNCLOS, historical
Penghu islands West Taiwan China, Taiwan
Senkaku islands Northeast Taiwan China, Japan Historical accounts

13. RPRPRPRP----CHINA SECURITY CONCERNSCHINA SECURITY CONCERNSCHINA SECURITY CONCERNSCHINA SECURITY CONCERNS
Date 13Footer

14. What is the future of China-Global South relations?
PROSPECTS FOR DISCUSSION?

15. References:References:References:References:
Asian Development Bank. (2010). Key Indicators for Asia and the Pacific 2010. Retrieved from
http://www.adb.org/publications/key-indicators-asia-and-pacific-2010
Baviera, A. S. (2000). Comprehensive Engagement: strategic issues in Philippines-China relations. Quezon City: Philippine-
China Development Resource Center.
Carinio, T. (1998). China-ASEAN relations: regional security and cooperation. Quezon City: Philippine-China Development
Resource Center.
Esplanada, J. (2011, February 20). “DFA: Ordeal of Filipinos in China death row a wake-up call. Retrieved from
http://globalnation.inquirer.net/news/breakingnews/view/20110220-321382/DFA-Ordeal-of-Filipinos-in-China-death-row-a-http://globalnation.inquirer.net/news/breakingnews/view/20110220-321382/DFA-Ordeal-of-Filipinos-in-China-death-row-a-
wake-up-call
International Monetary Fund. (2013, April). “World Economic Outlook.” Retrieved from
http://www.imf.org/external/pubs/ft/weo/2013/01/index.htm
Migrante. (2012, February 17). “Number of undocumented OFWs in China swells. Retrieved from
http://migranteme.blogspot.com/2012/02/number-of-undocumented-ofws-in-china.html
Puri, H. (2010, October 8). “Rise of the Global South and Its Impact on South-South Cooperation. Retrieved from
http://wbi.worldbank.org/wbi/devoutreach/article/525/rise-global-south-and-its-impact-south-south-cooperation
Department of Foreign Affairs website: http://www.dfa.gov.ph/index.php/articles/2013-04-03-07-46-09
National Statistics Office website: http://www.census.gov.ph
Philippine Consulate General Shanghai website: http://www.philcongenshanghai.org
Philippine Embassy in China website: http://www.philembassychina.org