Description:
CONCLUSION: RAMIFICATIONS OF CHINESE ODI IN ASEAN:
"I want to flag two major issues with regard to Chinese ODI in ASEAN. The first concerns Burma and the issue of human rights and sanctions. The second, which is related, is the issue of labour rights and international labour norms.
The issue of human rights and sanctions in Burma is a troublesome one. Although Burma Economic Watch (2001) disputes the claim that Asian (and particularly Chinese) companies are filling gaps left by departing European or US companies under pressure from a regime of sanctions, it is too early to say whether this is true. We know so little about Chinese ODI in the country that further research is desperately needed. However, my initial and preliminary research suggests that Burma is attracting more Chinese investment than most people realise. If this is indeed the case, then what role does a sanctions regime play? Will those pushing for sanctions, for instance, be able to pressure Chinese companies, especially SOEs, to disengage from the Burmese economy? It is almost certain that in the current environment Chinese companies will not withdraw investment as a result of pressure from the international community over Burmese human rights abuses.
It is impossible to argue that China?s investment in Burma comes with no strings attached, but the government attaches little or no importance to the issue of human rights abuses committed by the military regime.16 In the longer term, China is building a considerable bank of goodwill with Burmese businesspeople and other sectors in the community. The question that now confronts the international community is not so much whether European investment outweighs Chinese (or Asian), but what role the Chinese will play in a post-junta Burma. For instance, it might now be worthwhile to start considering the question of how Chinese goodwill in the form of aid and investment might play out if the junta falls. Will Europe and the US find themselves marginalised in a rebuilding process, or at the very best having to deal with the Chinese state and SOEs to play a significant role?..."
Source/publisher:
SEARC Working Paper No. 67
Date of Publication:
2004-07-00
Date of entry:
2009-01-27
Grouping:
- Individual Documents
Language:
English
Local URL:
Format:
pdf
Size:
213.92 KB
