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China’s
influence spreads around world
Foriegn Desk Report
KARRATHA (Australia)—For nearly three decades, Chinese peasants have
left their villages for crowded dormitories and sweaty assembly lines,
churning out goods for world markets. Now, China is turning the tables.
Here in the Australian Outback, Shane Padley toils in the scorching
heat, 2,000 miles from his home, to build an extension to a liquefied
natural gas plant that feeds China’s ravenous hunger for energy.
At night, the 34-year-old carpenter sleeps in a tin dwelling known as a
“donga,” the size of a shipping container and divided into four rooms,
each barely big enough for a bed. There are few other places for Padley
to live in this boomtown.
Duct-taped to the wall is a snapshot of the blonde girlfriend he left
behind and worries he may lose. But, he says, “I can make nearly double
what I’d be making back home in the Sydney area.”
For years, China’s booming economy touched daily life in the West most
visibly through the “made-in-China” label on everything from clothes to
computers. But now, economic growth is giving rise to something more
that can’t be measured just by widgets and gadgets — a shift in China’s
balance of power with the rest of the world.
China’s reach now extends from the Australian desert through the Sahara
to the Amazonian jungle — and it’s those regions supplying goods for
China, not just the other way around. China has stepped up its political
and diplomatic presence, most notably in Africa, where it is funneling
billions of dollars in aid. And it is increasingly shaping the lifestyle
of people around the world, as the United States did before it, right
down to the Mandarin-language courses being taught in schools from
Argentina to Virginia.
China, like the United States, is also learning that global power cuts
both ways. The backlash over tainted toothpaste and toxic pet food has
been severe, as has the criticism over China’s support for regimes such
Sudan’s.
To understand why China’s influence is increasingly pushing past its
borders, just do the math. When 1.3 billion people want something, the
world feels it. And when those people in ever increasing numbers are
joining a swelling middle class eager for a richer lifestyle, the world
feels it even more. If China’s growth continues, its consumer market
will be the world’s second largest by 2015. The Chinese already eat 32
percent of the world’s rice, build with 47 percent of its cement and
smoke one out of every three cigarettes.
China’s desire for expensive hardwood to turn into top-quality
floorboards for its luxury skyscrapers has penetrated deep into the
Amazon jungle. For example, in the isolated community of Novo Progresso,
or New Progress in Portuguese, one of the biggest sawmills was started
by the mayor with financing from Chinese investors.
China accounts for 30 percent of the wood exported from logging
operations in remote towns across Brazil’s rain forest, where trucks
carry the finished product hundreds of miles along muddy roads to river
ports, said Luiz Carlos Tremonte, who heads an influential wood industry
association. Many Chinese purchasers now travel to Brazil to clinch
deals, and are almost always accompanied at business meetings by friends
or relatives of Chinese descent who live there.
“Ten years ago no one knew about China in Brazil; then the demand just
exploded and they’re buying a lot,” Tremonte said. “This wood is great
for floors, and they love it there.”
The Bovespa stock index in Brazil has climbed more than 300 percent
since 2002, riding the China wave. China is buying coal mining equipment
from Poland and drilling for oil and gas in Ethiopia and Nigeria. It has
poured hundreds of millions of dollars into Zambia’s copper industry. It
is the world’s biggest market for mobile phones, headed for 520 million
handsets this year. The list goes on.
Along with looking to other countries for goods for its people, China is
also going far and wide in search of markets for its products.
In war-torn Liberia, where electricity is hard to come by, Chinese-made
Tiger generators keep the local economy humming. Costlier Western
brands, favored by aid agencies and diplomats, are beyond the reach of
small business owners such as Mohammed Kiawu, 30, who runs a phone stall
in the capital, Monrovia.
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