Mutiny In China: Young Chinese are Threatening CCP's Rule
Zusammenfassung
TLDRThe video explores the rising trend of discontent among Chinese youth, known as the 'Ban' movement, or 'let it rot', which reflects their refusal to engage in the intensive work culture without seeing future prospects. This nonviolent rebellion is creating economic challenges for China, where youth unemployment has reached record highs and dissatisfaction is mounting due to the 996 work culture. Contributing to this unrest are China's political decisions like the one-child policy and drastic educational reforms, which have left a demographic imbalance and significant job losses in certain sectors. The mounting societal pressure, lack of jobs, and high property costs have led to movements like 'lying flat', where youth minimize efforts and expenses as a form of protest and escapism. The situation threatens China's economic stability, as these generational grievances manifest through significantly lower youth morale and productivity.
Mitbringsel
- π The 'Ban' movement represents a significant generational shift in China, reflecting widespread youth dissatisfaction.
- π« Chinese youth are resisting the 996 work culture, seeking more balanced lifestyles.
- πΆ The demographic crisis, worsened by the one-child policy, threatens future economic stability.
- π Major educational reforms in 2021 led to massive job losses in the tutoring sector.
- π Skyrocketing property prices deter youthful aspirations toward home ownership.
- π Youth unemployment rates have hit record highs, exacerbating economic woes.
- π Movements like 'lying flat' further demonstrate rejection of societal pressures and unrealistic success metrics.
- π China's economic growth may slow due to reduced workforce and consumption.
- π¨π³ Government attempts to control or suppress such movements could deepen youth disenchantment.
- π The lack of job security and opportunities creates a crisis of morale among young Chinese workers.
Zeitleiste
- 00:00:00 - 00:05:00
Chinese youth have initiated a movement called 'ban,' translating to 'let it rot,' expressing dissatisfaction with China's strict work culture and limited job opportunities. Despite efforts by the Chinese government to quell such sentiments, the movement has gained substantial traction, reflecting broader discontent among the youth over governmental policies and economic prospects.
- 00:05:00 - 00:10:00
The 'ban' movement gained momentum in 2022, fueled by disillusionment with China's demanding work environment and constrained economic opportunities. This sentiment, alongside historical discontent, began to challenge China's political and economic strategies, significantly impacting employment and investment sectors.
- 00:10:00 - 00:15:00
China's strict educational policies, aiming to control the extensive private tutoring industry, led to massive job losses, contributing to the youth's growing dissatisfaction. These policy shifts, meant to reduce educational pressure, inadvertently worsened employment conditions, fueling the 'ban' movement amongst younger generations.
- 00:15:00 - 00:20:00
The introduction of massive layoffs, not just in education but also in real estate and tech sectors, has exacerbated youth discontent. These economic measures have driven young people to intensify their stance against prolonged work hours and inadequate job security, central tenets of the 'ban' movement.
- 00:20:00 - 00:25:00
Historical context shows China's rapid economic transformation post-1949, yet cultural remnants like the 996 work culture persist, causing fatigue and dissatisfaction among younger workers who seek more balanced lifestyles. This has fueled the 'ban' and 'lying flat' movements against rigid expectations and intense labor.
- 00:25:00 - 00:30:00
Youth unemployment in China has reached unprecedented levels, compounding issues brought on by cultural pressures and economic instability. The government's responses have been inadequate, fueling strong anti-establishment sentiments among the youth and further propelling the ban and lying-flat movements.
- 00:30:00 - 00:35:00
China's youth are disillusioned with a bleak job market, filled with high competition yet insufficient positions, triggering a crisis in confidence about future economic stability. This has been exacerbated by historical and cultural factors, contributing to rising unemployment and dissatisfaction.
- 00:35:00 - 00:40:00
Chinese youth face societal pressures, such as owning a home, which they perceive as financial traps. These societal expectations clash with economic realities, leading many to reject conventional paths in favor of movements like 'ban', which foster disillusionment with current socio-economic systems.
- 00:40:00 - 00:45:00
China's labor productivity and consumer confidence are declining, linked to broader societal dissatisfaction. This creates a vicious cycle: as the youth spend less due to job insecurity, demand falls, worsening economic conditions and increasing dissatisfaction.
- 00:45:00 - 00:50:00
China's reliance on domestic consumption for economic stability is threatened as discontent grows. Despite global sales, the reduced confidence and purchasing power of the youth pose significant risks. Inflation is generally absent, replaced by concerning deflation signs.
- 00:50:00 - 00:55:00
China's deflation, driven by decreased domestic demand, highlights severe internal economic issues. As youth discontent grows, so do worries about China's long-term economic stability, as the population and workforce are not only dissatisfied but aging rapidly, threatening future productivity.
- 00:55:00 - 01:00:00
The effects of China's one-child policy have long-term demographic impacts, compounding today's economic problems. An aging population with fewer young replacements causes labor shortfalls, echoing issues seen in other countries like Japan, intensifying China's economic and social challenges.
- 01:00:00 - 01:05:00
China's demographic crisis parallels the problems seen in nations like Japan, where a declining working-age population stifles economic growth. This exacerbates current dissatisfaction, posing severe challenges to maintaining economic vitality amidst a shrinking youthful demographic.
- 01:05:00 - 01:10:00
The government's attempts to reverse past population control policies have been ineffective due to ingrained cultural norms and economic pressures. Efforts to encourage larger families have not succeeded due to financial concerns about raising children, further deepening demographic dilemmas.
- 01:10:00 - 01:15:00
China's socio-demographic challenges extend to geopolitical arenas, with its population policies impacting military and economic strategies. The constraints on youth due to previous governmental policies reflect broader geopolitical intricacies, complicating potential economic recoveries and alliances.
- 01:15:00 - 01:20:00
The lack of job opportunities and harsh societal expectations are causing many Chinese young adults to refocus their lives, often turning to unconventional roles which undermine traditional societal norms. This not only reflects deep societal dissatisfaction but further jeopardizes economic stability.
- 01:20:00 - 01:25:00
Chinaβs youth discontent has potential geopolitical implications. Frustrations with domestic policies may affect China's global posture, influencing strategic alignments and economic interactions with other nations significantly. The untreated dissatisfaction threatens broader socio-economic stability in China.
- 01:25:00 - 01:33:04
As Chinese society faces a potential economic slowdown, the youth's dissatisfaction could lead to broader impacts on China's international standing. Intersecting economic, demographic, and social strains complicate both domestic and international policy challenges for China.
Mind Map
HΓ€ufig gestellte Fragen
What is the 'Ban' movement in China?
The 'Ban' movement, meaning 'let it rot', is a nonviolent rebellion among Chinese youth refusing to put further efforts in life due to lack of hope.
How is the Ban movement affecting China's economy?
The movement discourages youth from working hard, leading to potential economic downturns and affecting labor supply in factories.
What is the origin of the Ban movement?
The Ban movement gained popularity in March 2022 on Chinese social media as a response to widespread dissatisfaction among Chinese youth.
How is China's youth unemployment situation?
Youth unemployment in China hit a record high of 21.3% in August 2023, prompting concerns about future job prospects.
What is the 996 work culture in China?
The 996 work culture refers to working from 9:00 am to 9:00 pm, six days a week, resulting in 72 working hours per week.
How did China's past policies contribute to current dissatisfaction?
Policies such as the one-child policy and sudden educational sector reforms created long-term issues like workforce shortages and economic instability.
Why was China's tutoring industry impacted in 2021?
China banned for-profit tutoring for school curriculum subjects, aiming to reduce academic pressure but resulting in massive job losses.
What are the consequences of the one-child policy?
The one-child policy resulted in a demographic crisis with insufficient young people to support an aging population.
Why do Chinese youth find property ownership challenging?
Property prices are extremely high relative to average income, making it difficult for young people to buy homes.
What are some ways Chinese youth are coping with dissatisfaction?
Many are quitting jobs, accepting less ambitious lifestyles, and engaging in movements like 'lying flat' as forms of escapism.
Weitere Video-Zusammenfassungen anzeigen
- 00:00:00the Chinese youth are doing what even
- 00:00:02the US cannot do they've launched a
- 00:00:05movement that could destroy China's
- 00:00:07economy there is an undercurrent of
- 00:00:09dissatisfaction Brewing among the young
- 00:00:11in China a new phenomenon called ban
- 00:00:15meaning let it rot it's a rebellion so
- 00:00:18unique that the CCP can't even suppress
- 00:00:21this Movement Like It generally does
- 00:00:23police flooded the streets to crush a
- 00:00:25remarkable Uprising in major Chinese
- 00:00:27cities
- 00:00:33in Shanghai the country's biggest city
- 00:00:36police arrested protesters draging them
- 00:00:41away in fact this nonviolent movement
- 00:00:44could turn so deadly for the Chinese
- 00:00:46economy that the same dictator who used
- 00:00:48to threaten even the most powerful
- 00:00:50countries is now literally requesting
- 00:00:54the youth to end this Rebellion
- 00:00:56president cing ping took great pains to
- 00:00:58send a strong message of empowerment to
- 00:01:01Chinese
- 00:01:03youths as if that wasn't enough China is
- 00:01:06now facing severe consequences for a
- 00:01:08policy implemented 44 years ago the
- 00:01:11world's most populous country is facing
- 00:01:13a crisis it does not have young people
- 00:01:15to man its factories or join its Army
- 00:01:18but what exactly is this Rebellion why
- 00:01:21are Chinese youth so frustrated and most
- 00:01:23importantly how are these problems
- 00:01:26becoming a nightmare for China in March
- 00:01:29of 202 2 ban a Chinese term gained
- 00:01:33immense popularity in China so much so
- 00:01:36that in just 6 months it got more than
- 00:01:3891 million views on Chinese app webo I
- 00:01:42mean 91 million views in a country like
- 00:01:46China you can imagine how serious the
- 00:01:48issue must have been because China
- 00:01:51generally bans such Trends which could
- 00:01:53pose a threat to the ccp's leadership
- 00:01:55maybe China dismissed it as just another
- 00:01:57Trend and ignored it but the consequence
- 00:02:00it started showing later were something
- 00:02:02no one could have
- 00:02:04imagined now I have my suspicions that
- 00:02:06the ccp's Bots have always been
- 00:02:08disliking my China videos in order to
- 00:02:10suppress it in the algorithm so if you
- 00:02:13guys can just take a quick second of
- 00:02:14your time and tap that like button below
- 00:02:16it helps me out a lot with the YouTube
- 00:02:18algorithm especially when covering
- 00:02:20topics that are exposing the CCP thanks
- 00:02:22so much the term Bon translates to let
- 00:02:26it rot in this movement young people ref
- 00:02:29refuse to put further efforts in life
- 00:02:32because they don't see any hope in doing
- 00:02:34so many of them have quit their jobs
- 00:02:37abandoned their families stopped working
- 00:02:39hard and started accepting being
- 00:02:42ordinary in fact this wasn't the first
- 00:02:44such Trend in China in 2021 the concept
- 00:02:47of Tong ping which means lying flat was
- 00:02:50one of the top 10 internet buzzwords in
- 00:02:52China but the question is how did China
- 00:02:55end up in this situation although the
- 00:02:57trend emerged in 2022 The Roots of this
- 00:03:00discontent didn't stem from an overnight
- 00:03:02event they were the result of a ripple
- 00:03:04effect from numerous Chinese policies
- 00:03:07November 16th 1993 new Oriental
- 00:03:10education a private educational services
- 00:03:13company was founded in China it started
- 00:03:15seeing massive success so much so that
- 00:03:18it even became the largest provider of
- 00:03:21private Educational Services in China it
- 00:03:24even got listed in the New York Stock
- 00:03:26Exchange in 2006 and on the Hong Kong
- 00:03:28Stock Exchange in 2020 the private
- 00:03:31tutoring sector was getting established
- 00:03:33in the 1990s and in the span of a decade
- 00:03:36like new Oriental some of the biggest
- 00:03:38players were expanding so quickly they
- 00:03:40started issuing shares in fact before
- 00:03:43getting listed new Oriental in 2004 even
- 00:03:46reported that the size of the
- 00:03:47educational Market in China was
- 00:03:49approximately 580 billion R&B or about
- 00:03:5272
- 00:03:54billion so the tutoring Market was
- 00:03:56booming and it provided a huge number of
- 00:03:58jobs estimates even suggest that China's
- 00:04:01lucrative tutoring industry once
- 00:04:03employed around 10 million people but
- 00:04:06there's a reason I'm using the word once
- 00:04:08because what China did to this industry
- 00:04:10in 2021 shocked the entire world it
- 00:04:14erased billions of dollars of wealth
- 00:04:17from the markets listing companies lost
- 00:04:1980 to 90% of their value tens of
- 00:04:21thousands of them lost their jobs and it
- 00:04:24destroyed the entire $100 billion
- 00:04:26industry let's address something that's
- 00:04:28been on my mind before before we move
- 00:04:30forward after watching my videos or
- 00:04:32other YouTubers videos I'm sure some of
- 00:04:34you guys have thought about starting
- 00:04:35your own channel one of the biggest
- 00:04:37hurdles people face when starting a
- 00:04:38YouTube channel is that they are not
- 00:04:40comfortable showing their face in videos
- 00:04:42not everyone wants to give up their
- 00:04:44privacy and be in the public eye all the
- 00:04:46time that's one of the big reasons why
- 00:04:47our videos are made in a documentary
- 00:04:49style the craziest part is people still
- 00:04:51love the videos as you can see from the
- 00:04:53fact that we recently crossed a million
- 00:04:56subscribers in fact there are millions
- 00:04:58of faceless YouTube channels making
- 00:05:00content and earning ad Revenue in just
- 00:05:02the last 3 years YouTube has paid out
- 00:05:05$70 billion to creators that's around
- 00:05:08$60 million every single day so if
- 00:05:12you're someone who's interested in
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- 00:05:16the perfect time that's why we've
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- 00:05:29QR code on the screen all right now
- 00:05:32let's get back to the topic at hand
- 00:05:33tutoring companies can no longer teach
- 00:05:35compulsory School subjects teach during
- 00:05:38school hours nor earn a profit in July
- 00:05:41of 2021 China banned for profit tutoring
- 00:05:44for school curriculum subjects banned
- 00:05:47subject-based tutoring institutions from
- 00:05:49listing on stock markets or raising
- 00:05:51funds although the intention of this
- 00:05:54move was to lessen the academic burden
- 00:05:56this sudden move resulted in a huge job
- 00:05:59loss
- 00:06:00new Oriental education lost 83% of its
- 00:06:03value in just 10 months and most of the
- 00:06:05players in the tutoring sector lost
- 00:06:07almost 90% of their market value in less
- 00:06:10than a year companies laid off almost 40
- 00:06:13to 50% of their staff if we just
- 00:06:15consider the top seven listed companies
- 00:06:19206,000 people lost their jobs in fact
- 00:06:22these are figures of the listed entities
- 00:06:24we're not even considering the brick and
- 00:06:26mortar classrooms the smaller businesses
- 00:06:30this wasn't just the tutoring sector the
- 00:06:32CCP also cracked down on the real estate
- 00:06:34and Tech sectors since
- 00:06:362021 you could predict the results in
- 00:06:392022 the e-commerce giant Alibaba ended
- 00:06:42up laying off more than 10,000 employees
- 00:06:45and Country Garden one of the largest
- 00:06:47property developers fired 30,000
- 00:06:50employees now just sit back and imagine
- 00:06:53for a second about the mother who was
- 00:06:55feeding the family with the income from
- 00:06:57tutoring the college graduate who just
- 00:07:00got a job in one of these companies the
- 00:07:02investors who lost their wealth and the
- 00:07:05founders who put their blood and sweat
- 00:07:07and tears into establishing these
- 00:07:09organizations everything was wiped out
- 00:07:11in no time now if you're a budding
- 00:07:14entrepreneur would you feel confident to
- 00:07:16launch a startup in such an environment
- 00:07:19no right because you never know when
- 00:07:21your years of hard work would get wiped
- 00:07:24out in just a few months similarly even
- 00:07:27the employees would feel the same right
- 00:07:30this is just one of the key factors
- 00:07:31fueling the dissatisfaction among the
- 00:07:34youth but this isn't the root cause
- 00:07:37behind the Rebellion you see in 1949 the
- 00:07:40time when China gained independence it
- 00:07:42was an extremely poor country so poor
- 00:07:45that in 1990 it had a staggering
- 00:07:4866.3% poverty rate Millions died due to
- 00:07:52starvation it had a GDP per capita of
- 00:07:55just
- 00:07:56$90 but what China did in the next five
- 00:07:58decades was was nothing short of a
- 00:08:01miracle fast forward to 2022 China's GDP
- 00:08:04per capita grew by 141 times to
- 00:08:10$2,720 yeah you heard that
- 00:08:12right 141 times in fact China became the
- 00:08:16second largest economy in the world with
- 00:08:19a $17.9 trillion GDP on top of that the
- 00:08:23poverty rate decreased from 66.3% in
- 00:08:261990 to just. 3% in
- 00:08:302018 during the hard times older
- 00:08:33Generations worked very hard creating a
- 00:08:36culture of long working hours in China
- 00:08:40this is why even today the Chinese work
- 00:08:41from 9:00 a.m. to 9:00 p.m. for 6 days a
- 00:08:44week this is known as the 996 work
- 00:08:47culture in China this translates to 72
- 00:08:50hours a week just for comparison the
- 00:08:53worldwide average working week consists
- 00:08:55of about 40 hours in fact according to
- 00:08:58China's labor laws a standard workday is
- 00:09:018 hours long with a maximum of 44 hours
- 00:09:04a week but they still work almost 28
- 00:09:06hours more than their standards part of
- 00:09:09the reason for this is the tight
- 00:09:10competition in the Chinese job market
- 00:09:12which we'll discuss soon but this
- 00:09:14culture is so ingrained that a Chinese
- 00:09:17employee would almost feel left out if
- 00:09:19they left before 9:00 p.m. this is what
- 00:09:22the younger Generations in China are
- 00:09:24rejecting the young people have seen
- 00:09:27other possibilities and they prefer more
- 00:09:28flexible
- 00:09:30Lifestyles but what if they don't have
- 00:09:33an option to do so imagine you are
- 00:09:36working for 12 hours a day 6 days a week
- 00:09:39and just like the Chinese people you are
- 00:09:42fed up with it but you still can't quit
- 00:09:44your job imagine your health and your
- 00:09:46relationships getting messed up simply
- 00:09:48because you can't give enough time to
- 00:09:49them seems weird right but this is the
- 00:09:53case with so many Chinese youth most of
- 00:09:56them can't quit this toxic culture even
- 00:09:58if they want to
- 00:10:00simply because of one particular reason
- 00:10:02the harsh truth that China has hidden
- 00:10:04from the world youth unemployment hit
- 00:10:07another record high in May of 20.8%
- 00:10:10that's up from 20.4 the prior month in
- 00:10:13August of 2023 the Chinese government
- 00:10:15released a shocking piece of data
- 00:10:18According to which a record
- 00:10:2021.3% of Chinese youth were
- 00:10:23unemployed seeing these numbers the CCP
- 00:10:25thought that this is horrible and
- 00:10:28decided to eradicate such horrible
- 00:10:29numbers in fact they did by suspending
- 00:10:33the future publication of the urban
- 00:10:35youth unemployment rate yeah that was
- 00:10:37the typical Chinese solution for it this
- 00:10:39is why most of the Chinese youth had no
- 00:10:41option but to continue with the 996 work
- 00:10:44culture simply because there aren't
- 00:10:46enough jobs and they don't have any
- 00:10:48option but to continue with their
- 00:10:50existing jobs in fact the competition is
- 00:10:52set to worson to such an extent that
- 00:10:55these same Chinese universities which
- 00:10:57produced 9 million fresh graduates in
- 00:10:592021 are expected to produce 11.8
- 00:11:03million graduates in 2024 so the
- 00:11:06competition is becoming even more Fierce
- 00:11:09this is the reason why more than one in
- 00:11:11five young workers are jobless in China
- 00:11:14now this is also in part due to the Bon
- 00:11:17movement but also in part due to there
- 00:11:19not being enough jobs in the market the
- 00:11:22situation could worsen to such an extent
- 00:11:24that according to an economist at the
- 00:11:25pay King University almost half of all
- 00:11:28Chinese youth
- 00:11:29maybe jobless now this also includes
- 00:11:32those who are willingly lying flat but
- 00:11:35you can imagine how bad the situation
- 00:11:36could become the situation is so bad
- 00:11:39that fresh graduates are taking up weird
- 00:11:41and I mean extremely weird jobs like
- 00:11:45this
- 00:11:59or else yeah you heard that right fresh
- 00:12:02graduates are becoming full-time
- 00:12:05children where they would spend time
- 00:12:07with their parents help them with the
- 00:12:08housework and in return they get a
- 00:12:11salary for it hey Mom here's the bill
- 00:12:14you owe me at least
- 00:12:17$500,000 sorry guys anyway I tried to
- 00:12:20correlate the relationship between the
- 00:12:22lack of jobs the hustle culture and the
- 00:12:24Bon movement when I studied multiple
- 00:12:26case studies on this the plight of the
- 00:12:28helpless Chinese youth kind of shook me
- 00:12:31this is what I found in an interview
- 00:12:33with CNBC 30-year-old Crystal gu said
- 00:12:36that she first became the victim of
- 00:12:38China's Crackdown on the private
- 00:12:40tutoring system finally after 6 months
- 00:12:42and a lot of struggles she found another
- 00:12:44job at a real estate company
- 00:12:46unfortunately her entire department was
- 00:12:48laid off in a few months she tried to
- 00:12:50find another job but this was the time
- 00:12:53when the tech industry was also
- 00:12:54reporting layoffs so she finally decided
- 00:12:57to give up and decided to escape from
- 00:13:00reality by lying flat to cover her daily
- 00:13:04expenses or pursue other Hobbies she
- 00:13:06used her free time to take up part-time
- 00:13:08jobs this is the case with millions of
- 00:13:11Chinese youth they are using the Bon
- 00:13:13movement as a form of
- 00:13:15escapism but there's another and perhaps
- 00:13:18stronger reason behind this
- 00:13:21chya every society has some societal
- 00:13:24expectation especially from the youth in
- 00:13:27China it is known as Chang Lea which
- 00:13:29means to establish a family and a career
- 00:13:32now this also includes buying an
- 00:13:34apartment in fact buying an apartment is
- 00:13:36linked to their social status in China
- 00:13:39so buying property is considered an
- 00:13:41achievement amongst the youth but again
- 00:13:43the prices of homes have risen so much
- 00:13:45that buying a home in Shanghai and
- 00:13:47Beijing has become nearly impossible for
- 00:13:50the average young Chinese person the
- 00:13:52prices are so high that the average
- 00:13:54housing prices are almost 12 times more
- 00:13:57than the average income in China this is
- 00:14:00the reason why Chinese youths have
- 00:14:02refused to fall for this societal
- 00:14:04pressure simply just because it would be
- 00:14:07a financial trap for most of them so all
- 00:14:11these factors combined have dealt a
- 00:14:13severe blow to the most important thing
- 00:14:16morale movements like Tang ping and ban
- 00:14:19are not just harming XI jinping's
- 00:14:21Chinese dream ideology but would also
- 00:14:23have a large impact on the Chinese
- 00:14:25economy have a look at this this is
- 00:14:28China's lab productivity growth the
- 00:14:31average for each year comes to almost 7%
- 00:14:34but after 2021 it has almost dropped to
- 00:14:384% I know there are plenty of other
- 00:14:41major reasons for it which we will
- 00:14:43definitely discuss but the growing
- 00:14:45discontent it's definitely played a role
- 00:14:47in this even in these charts you can see
- 00:14:50a decrease in China's consumer
- 00:14:52confidence index and a sharp drop in
- 00:14:54China's retail sales this is because
- 00:14:56unemployment is rising Chinese youth are
- 00:14:59jobless and this is why they are
- 00:15:02spending less since they will spend less
- 00:15:04the demand will drop further companies
- 00:15:07will produce less and as a result either
- 00:15:09layoffs will take place or a smaller
- 00:15:11number of jobs will be created this
- 00:15:14vicious cycle will continue to affect
- 00:15:16China unless the CCP takes some solid
- 00:15:18steps to counter this now you might say
- 00:15:22so what doesn't matter if the domestic
- 00:15:24consumption is decreasing China sells to
- 00:15:27the world and it will continue this
- 00:15:29Trend to keep growing right actually I
- 00:15:31was even thinking the same thing until I
- 00:15:33found this research paper in 1995 only
- 00:15:37three Chinese firms made it to the
- 00:15:38Fortune 500 list but as of 2023 this
- 00:15:42number has increased to a
- 00:15:44mindboggling 142 which is the highest
- 00:15:48for any country now although this is
- 00:15:50impressive the biggest s soes or
- 00:15:53state-owned Enterprises in the list
- 00:15:55namely one state grid Corporation of
- 00:15:58China two China National Petroleum
- 00:16:00Corporation three China petrochemical
- 00:16:03Corporation generated more than 85% of
- 00:16:06their revenue domestically as of
- 00:16:092018 almost the same is the case even
- 00:16:12for private companies so the majority of
- 00:16:14the Chinese companies on the global 500
- 00:16:17would be vulnerable to a major slowdown
- 00:16:19in the domestic economy in fact China
- 00:16:22has even started showing signs of a
- 00:16:23Slowdown one of which is so surprising
- 00:16:26that you won't even believe it in the
- 00:16:28first place China's economy is suffering
- 00:16:30from the opposite deflation consumer
- 00:16:33prices declined in July for the first
- 00:16:34time in more than 2 years yes China is
- 00:16:37suffering from
- 00:16:39deflation ah yes you heard it correctly
- 00:16:42you may ask dude the world is suffering
- 00:16:44from inflation everything is becoming
- 00:16:46expensive in fact China's consumer
- 00:16:48prices fell at their fastest Pace in 15
- 00:16:50years so if things are getting cheaper
- 00:16:53in China then that's a good sign right
- 00:16:56the basic rule of Economics is supply
- 00:16:59and demand if Supply increases without a
- 00:17:01corresponding increase in demand prices
- 00:17:04fall and vice versa so the reason
- 00:17:07there's deflation in China is because
- 00:17:09the demand has decreased significantly
- 00:17:13this is because people and businesses
- 00:17:15are not spending much in China the
- 00:17:18second largest economy is struggling to
- 00:17:20revive demand this is coming when no
- 00:17:23other major economy is witnessing
- 00:17:25deflation as we discussed this would
- 00:17:28again contrib to the Vicious Cycle where
- 00:17:30less demand means less production and
- 00:17:32this means less jobs and ultimately
- 00:17:35dissatisfaction amongst the youth but
- 00:17:38amongst all these problems there is a
- 00:17:40major problem which is not the economy
- 00:17:42employment or GDP but something even
- 00:17:45more important and alarming in fact this
- 00:17:49Factor I'm talking about is so crucial
- 00:17:51that it has broken many countries and is
- 00:17:54still haunting many countries in the
- 00:17:56world and China's leaders are trying to
- 00:17:59find ways to battle what many economists
- 00:18:02have described as a demographic a
- 00:18:05ticking Time Bomb this is none other
- 00:18:07than the population problem you see
- 00:18:10China has a population of 1.4 billion
- 00:18:13out of these a whopping 280 million are
- 00:18:17above the age of 60 so almost one in
- 00:18:20five are over the age of 60 in China in
- 00:18:23fact China is now home to the largest
- 00:18:25population of older people in the world
- 00:18:28unlike China countries like Japan South
- 00:18:30Korea and Italy and many other countries
- 00:18:33are facing this issue but unlike most
- 00:18:35countries where the major reason behind
- 00:18:37low fertility rates is higher cost to
- 00:18:39raise kids in China it's a completely
- 00:18:42different case youths of other countries
- 00:18:45did it of their own will but in China it
- 00:18:48was forced by the government with a
- 00:18:50Draconian policy called the one child
- 00:18:53policy China's population Grew From 540
- 00:18:56million in 1949 to
- 00:18:59969 million in
- 00:19:011980 although the population was growing
- 00:19:03rapidly agricultural output in the late
- 00:19:061900s didn't keep up with this pace this
- 00:19:09simply meant that food production was
- 00:19:11insufficient to feed the entire
- 00:19:13population to control these exploding
- 00:19:16numbers and to avoid a hunger Rampage
- 00:19:18Across the Nation the one child policy
- 00:19:20was implemented in 1980 although this
- 00:19:23kept the population in control the
- 00:19:25consequences of this policy came to
- 00:19:27haunt China decades later later when the
- 00:19:29Aging population was growing at an
- 00:19:31alarming rate and there were not enough
- 00:19:33young people to replace them in fact
- 00:19:36according to a report by 2035 an
- 00:19:38estimated 400 million people in China
- 00:19:41will be over the age of 60 which will be
- 00:19:43almost 30% of the population this is so
- 00:19:47huge that this would be almost the
- 00:19:48entire current population of Japan South
- 00:19:51Korea Italy Canada and Russia all
- 00:19:56combined on top of that this policy even
- 00:19:58messed with demographics a lot of them
- 00:20:01favored having a boy over a girl which
- 00:20:03led to a drastic mismatch in the maleo
- 00:20:06female ratio in China there are almost
- 00:20:0835 million more men than women in China
- 00:20:12which has created multiple social and
- 00:20:14cultural issues this has made the
- 00:20:16competition for marriage even more
- 00:20:18intense much like the job market so as
- 00:20:21the older population increases the
- 00:20:23economy will go for a toss you might
- 00:20:26think does that make sense and in fact
- 00:20:28that would be great for them because you
- 00:20:30just mentioned that unemployment is high
- 00:20:32so if there would be less youngsters
- 00:20:34then even the competition would decrease
- 00:20:36right actually no because the declining
- 00:20:39population effect can snowball quickly
- 00:20:41for example Japan reported 20,000 fewer
- 00:20:44people in 2008 and this figure has since
- 00:20:47swelled to
- 00:20:49831,687
- 00:20:53Japanese prime minister fumio kashida
- 00:20:55even called this trend Japan's gravest
- 00:20:58crisis a research paper said that when
- 00:21:01the working age population shrinks so do
- 00:21:03revenues of companies and ultimately the
- 00:21:06economy of the country this is because a
- 00:21:08country's workers are its most powerful
- 00:21:10consumers now I am not just assuming
- 00:21:12this we have multiple case studies where
- 00:21:15a correlation was observed between
- 00:21:17falling economy and Rising older
- 00:21:19population Japan is a very classic
- 00:21:22example of the same this chart shows the
- 00:21:25decline of the working age population in
- 00:21:27Japan as the country's working age
- 00:21:29population fell domestic consumption
- 00:21:31started declining and the number of
- 00:21:33Japanese firms on the Fortune 500 list
- 00:21:35started declining as well in fact
- 00:21:37according to the research paper the
- 00:21:39correlation between the decline in the
- 00:21:41working age population and Japanese
- 00:21:43firms leaving the global 500 was
- 00:21:4794% after researching further I found
- 00:21:49that from 2000 to 2023 the Japanese
- 00:21:52firms in the Fortune 500 declin from 107
- 00:21:56in the year 2000 to just 40 1 in 2023
- 00:22:00this is almost a
- 00:22:0262% decline in fact in the 60s and70s
- 00:22:05Japan had an average fertility rate of
- 00:22:08two which has now declined to just 1.3
- 00:22:11as of the last decade and according to
- 00:22:14experts a fertility rate of 2.1 children
- 00:22:16per woman ensures a broadly stable
- 00:22:19population this even reflects in the GDP
- 00:22:21growth of Japan if we calculate average
- 00:22:24GDP growth from 2015 to 2023 it comes to
- 00:22:27just
- 00:22:296% statista data even predicts that this
- 00:22:32growth rate will fall to just 45% in
- 00:22:362029 similar is the case for South Korea
- 00:22:39the fertility rate is just around 1.1
- 00:22:4210-year GDP growth averages to Just
- 00:22:44Around
- 00:22:452.5% and even in this case it is
- 00:22:48predicted to fall to just 2.03% in
- 00:22:512029 in fact this pattern has been
- 00:22:54observed for almost every other country
- 00:22:56with a falling population
- 00:22:58now you might argue that these countries
- 00:23:00are growing slow because they've already
- 00:23:02grown so fast and that there's almost no
- 00:23:05room for growth right now and partly
- 00:23:08that is true but still they would have
- 00:23:10been far better than what they are today
- 00:23:11in terms of GDP growth if they would
- 00:23:13have maintained their population the US
- 00:23:16is a very classic example for the same
- 00:23:19the younger population is important
- 00:23:20because of two very important reasons
- 00:23:23number one a declining population means
- 00:23:25fewer people which results in less
- 00:23:27demand for goods and services this
- 00:23:29exerts a downward pressure on prices
- 00:23:31causing deflation when this happens the
- 00:23:34economic slumps or recessions are more
- 00:23:36likely this is what China is facing
- 00:23:38currently declining population affects
- 00:23:40the supply side of the economy as well
- 00:23:42as the demand side so generally on the
- 00:23:44supply side a decline in population
- 00:23:46results in reduction of Labor Supply and
- 00:23:49the production on the demand side
- 00:23:51declining population results in
- 00:23:53reduction in the demand of consumption
- 00:23:55goods and services and housing so the
- 00:23:58entire domestic market for the goods and
- 00:24:00services just collapses and number two
- 00:24:04the country is left with fewer workers
- 00:24:06as more people retire leading to an
- 00:24:08imbalance where the government revenues
- 00:24:09from taxes fall while spending on
- 00:24:12retired people
- 00:24:14increases so what is China doing to
- 00:24:16tackle this problem China realized the
- 00:24:19magnitude of this problem and it decided
- 00:24:21to finally end the one child policy in
- 00:24:252016 maybe it was too late then and it
- 00:24:28had a good reason beginning in early
- 00:24:312016 all families were allowed to have
- 00:24:33two children the fertility rate in 2016
- 00:24:36was 1.67 which improved to 1.69 in 2021
- 00:24:42but it was still lower than the standard
- 00:24:43fertility rate of 2.1 this is why the
- 00:24:46CCP formally passed a law in August of
- 00:24:482021 which allowed married couples to
- 00:24:50have as many as three children but even
- 00:24:54after allowing three children the
- 00:24:56fertility rate reached to just
- 00:25:001.7% this has the same reasons why even
- 00:25:02the Koreans and the Japanese aren't
- 00:25:04having enough children the Chinese are
- 00:25:06concerned whether they would really be
- 00:25:08able to afford more children or not in
- 00:25:11fact Decades of messaging and policies
- 00:25:13promoting the idea of having only one
- 00:25:15child have made many people believe that
- 00:25:18having just one child is actually better
- 00:25:21maybe the situation would have been far
- 00:25:23better if the CCP wouldn't have
- 00:25:25implemented this policy or at least
- 00:25:27implemented something like a two child
- 00:25:29policy the one child policy not only
- 00:25:32disrupted China's economy but also had
- 00:25:34significant effects on its military
- 00:25:37China wants Russia to win the Ukrainian
- 00:25:40War this is far from obvious since the
- 00:25:43CCP is trying to sound as neutral as
- 00:25:45possible when we read these statements
- 00:25:48from the Chinese government's website on
- 00:25:50Ukraine we see talk about sovereignty
- 00:25:53peace talks and resolving the
- 00:25:55humanitarian crisis not exactly what a
- 00:25:57bunch of dach Putin supporters would say
- 00:26:00but what if I tell you that this this is
- 00:26:03just a facade to hide China's true
- 00:26:06intentions secretly the country is
- 00:26:08giving Russia some of the most important
- 00:26:10resources for the war China is Russia's
- 00:26:14biggest gunpowder supplier
- 00:26:16single-handedly keeping Russia's
- 00:26:18ammunition factories afloat meanwhile it
- 00:26:21provides no gunpowder to Ukraine or its
- 00:26:24allies who are in Desperate shortage but
- 00:26:26this should come as no surprise
- 00:26:28shortly before The Invasion started
- 00:26:31Putin visited Xi Jinping and signed a No
- 00:26:34Limits partnership in their joint
- 00:26:36document the two criticized the US by
- 00:26:39name six times and opposed NATO's
- 00:26:42expansion later reports from the New
- 00:26:44York Times suggested that China already
- 00:26:46knew about the invasion before it signed
- 00:26:49the
- 00:26:50document understandably this has led to
- 00:26:52fears that China would help Putin in the
- 00:26:54Ukraine war after all their joint
- 00:26:57documents said and and I quote there are
- 00:26:59no forbidden areas of
- 00:27:02cooperation although Beijing still
- 00:27:04refrains from giving direct lethal Aid
- 00:27:07it's definitely clear on which side it's
- 00:27:09on as the biggest competitor of the
- 00:27:12United States China kind of likes what
- 00:27:15Russia is doing so let's take a deep
- 00:27:17dive into how China is secretly trying
- 00:27:19to make Russia win and why it would want
- 00:27:22to do this in the first place this
- 00:27:24Factory in Pennsylvania is making
- 00:27:26Ukraine's most important ammunition 155
- 00:27:30mm rounds are basically giant bullets
- 00:27:33used in artillery guns military
- 00:27:35officials estimate that Ukraine needs
- 00:27:37200,000 a month to actually fight this
- 00:27:40war to keep on part with Russia and US
- 00:27:43capacity at somewhere around 28,000
- 00:27:45biggest problem is we don't have enough
- 00:27:48of ammunition for it US Secretary of
- 00:27:50State Anthony blinkin has warned that
- 00:27:52China May soon provide lethal assistance
- 00:27:55in the form of weapons and ammunition to
- 00:27:57Russia's War in Ukraine first off let's
- 00:27:59look at the situation in Ukraine over
- 00:28:01the last year or so the conflict has
- 00:28:03turned into an artillery War the front
- 00:28:06lines entered into a stalemate and very
- 00:28:08little territory changed hands a lot of
- 00:28:11attention is now going to the artillery
- 00:28:13campaigns which are doing heavy damage
- 00:28:15on both sides with artillery you can
- 00:28:18damage enemy positions armor and supply
- 00:28:20lines at relatively low cost and
- 00:28:22eventually just drain them out currently
- 00:28:25about 70% of the losses in the conflict
- 00:28:28ICT are because of artillery shelling
- 00:28:30eventually a breakthrough could be
- 00:28:32possible if either Russia or Ukraine
- 00:28:34runs out of resources or soldiers Putin
- 00:28:37is betting that Ukraine will lose this
- 00:28:39war of attrition and he has some of the
- 00:28:41numbers on his side first of all he has
- 00:28:43way more people to send to the
- 00:28:45battlefield because of Russia's larger
- 00:28:47population winning with sheer amount of
- 00:28:49Manpower is a proven tactic in Russia
- 00:28:52going back to World War II but what's
- 00:28:54really scary is the ammunition advantage
- 00:28:57that Russia has
- 00:28:58currently the Russian military is firing
- 00:29:01seven times more artillery shells than
- 00:29:03Ukraine according to the Ukrainian
- 00:29:05Deputy defense minister this is due to
- 00:29:08an increasing ammunition shortage on the
- 00:29:10Ukrainian side it wasn't always like
- 00:29:13this though as it has changed
- 00:29:14significantly over the last months in
- 00:29:17the summer of 2023 Ukraine was using
- 00:29:19around 7,000 artillery shells a day much
- 00:29:23more than Russia's 5,000 but at the
- 00:29:25beginning of 2024 Ukraine UK only used
- 00:29:292,000 rounds a day while Russia doubled
- 00:29:32its figure to
- 00:29:3310,000 there's a little bit of nuance
- 00:29:36though as Ukraine's artillery has proven
- 00:29:37to be much more effective Ukraine has
- 00:29:40been destroying four Russian howitzers
- 00:29:42for every one it loses because it has a
- 00:29:45technology Edge it can trace down and
- 00:29:47Destroy enemy firing positions way more
- 00:29:50effectively but the scary thing about
- 00:29:52Russia is that it doesn't care if
- 00:29:55Ukraine is four times more effective
- 00:29:57Russia will just just fire five times
- 00:29:59more shells and there's nothing much
- 00:30:01Ukraine's allies can do about this the
- 00:30:04NATO alliance isn't able to produce
- 00:30:06enough ammunition which resulted in
- 00:30:08dwindling supplies for Ukraine Russia is
- 00:30:11producing three times more artillery
- 00:30:13shells than the United States and Europe
- 00:30:16combined the nation makes 250,000 shells
- 00:30:19a month or about 3 million shells every
- 00:30:22year in comparison the us only has a
- 00:30:25monthly production of
- 00:30:2628,000 the process of upgrading this
- 00:30:29capacity will take quite a while because
- 00:30:31the infrastructure is simply not there
- 00:30:34yet to get to Russia's level of
- 00:30:36production the West needs billions of
- 00:30:39dollars and several months if not years
- 00:30:41of construction the US plans to increase
- 00:30:44its shell production to 100,000 a month
- 00:30:46in
- 00:30:472025 but it's not clear whether this
- 00:30:49will be in time to help Ukraine NATO
- 00:30:52could run out of its ammunition Supply
- 00:30:54with disastrous
- 00:30:56consequences the United States has
- 00:30:58already sent hundreds of thousands of
- 00:31:00shells from its strategic stockpiles to
- 00:31:02Ukraine all over the world Washington
- 00:31:05has ammunition reserves to back its
- 00:31:07military presence abroad and these
- 00:31:09reserves formed a big part of Ukraine's
- 00:31:11Supply in 2023 the US transferred
- 00:31:14300,000 shells from South Korea and
- 00:31:17300,000 shells from Israel to Ukraine
- 00:31:20the problem is that this can't go on
- 00:31:23forever the US doesn't want to become
- 00:31:25too weak in other regions meaning that
- 00:31:28this Lifeline could be nearing its end
- 00:31:31what makes ammunition problems even
- 00:31:32worse is that the resources for Shell
- 00:31:35production are in short supply the most
- 00:31:38concerning shortage has to be with
- 00:31:40gunpowder according to the French
- 00:31:42President macron this is one of the key
- 00:31:44problems that the NATO alliance has at
- 00:31:46the moment he said that quote powder is
- 00:31:49really what's lacking today the European
- 00:31:52Union promised to supply 1 million
- 00:31:54shells to Ukraine but it could really
- 00:31:56only deliver about 30 % of this number
- 00:31:59the lack of gunpowder is one of the main
- 00:32:02causes for this failure without
- 00:32:04gunpowder you can't create the
- 00:32:06propellant charge needed for artillery
- 00:32:09rounds NATO's shortage of gunpowder can
- 00:32:11be traced back to one chemical called
- 00:32:13Nitro cellulose or gun cotton this is
- 00:32:16where China comes in according to an EU
- 00:32:19International Market commissioner China
- 00:32:21is a major gun cotton supplier to the
- 00:32:24West well at least it used to be just a
- 00:32:27few months ago the country suddenly
- 00:32:28halted its gun cotton exports to the
- 00:32:31West you would almost think that it
- 00:32:33purposely tried to create an ammunition
- 00:32:35shortage although the West does have its
- 00:32:37own nitr cellulose facilities in the US
- 00:32:39Germany and France it's not enough to
- 00:32:41keep up with demand and these suspicions
- 00:32:44of China causing the shortage get even
- 00:32:47worse last year the New York Times
- 00:32:49uncovered huge gunpowder exports from a
- 00:32:51private Chinese company to Russia the
- 00:32:54state-owned company called poly
- 00:32:55Technologies exported gunpowder to
- 00:32:58Russia ammunition factories and not just
- 00:33:00like a little bit it was enough
- 00:33:02gunpowder to produced at least 80
- 00:33:04million rounds of ammunition so this
- 00:33:07proves two things China has an enormous
- 00:33:09gunpowder manufacturing capability and
- 00:33:12it would rather sell it to Russia than
- 00:33:14to Ukraine poly Technologies claims that
- 00:33:17the gunpowder wasn't for military
- 00:33:19purposes but I mean you can decide for
- 00:33:21yourself if you think that's believable
- 00:33:24Russia itself produces very little Nitro
- 00:33:26cellulose so it desperately needs
- 00:33:28Imports to maintain its gunpowder Supply
- 00:33:31along with Turkish companies reselling
- 00:33:33Western made gun cotton to Russia China
- 00:33:35has played a vital role in providing
- 00:33:37this resource according to a British
- 00:33:39Ukrainian research group China is now
- 00:33:42the largest Nitros supplier to Russia it
- 00:33:45uncovered 72 deliveries worth of over
- 00:33:47$10
- 00:33:49million and if you think about it the
- 00:33:51true Chinese supply of nitrocellulose
- 00:33:53might even be bigger if China supplies
- 00:33:56Russia with gunpowder it would want to
- 00:33:58do this as secretly as possible the US
- 00:34:01and the European Union have already
- 00:34:03sanctioned several Chinese firms because
- 00:34:05of their role in the Ukraine war and to
- 00:34:07prevent this China might disguise its
- 00:34:09gun cotton exports as normal civilian
- 00:34:12products this aligns with information
- 00:34:15from the US Office of the Director of
- 00:34:16National Intelligence several us
- 00:34:19intelligence briefings were leaked on a
- 00:34:20Discord server showing some very
- 00:34:23interesting information an intercept of
- 00:34:25Russian intelligence revealed a deal
- 00:34:27with with China to supply lethal
- 00:34:29military aid the only provision was that
- 00:34:32the trade would have to remain secret if
- 00:34:34the deal went through there may be even
- 00:34:36more gun cotton exports that we don't
- 00:34:39know
- 00:34:39about understandably this has raised
- 00:34:42some alarm bells in Washington the US
- 00:34:44has warned China against helping Russia
- 00:34:47saying that there would be quote unquote
- 00:34:49real costs but these developments don't
- 00:34:53come as a huge surprise there are many
- 00:34:56other ways China is helping its nor
- 00:34:57neighbor China exports large amounts of
- 00:35:00dual use technology to Russia things
- 00:35:02that can have both civilian and Military
- 00:35:06applications for example one Russian
- 00:35:08company bought 100,000 bulletproof vests
- 00:35:11and 100,000 helmets from a manufacturer
- 00:35:13in
- 00:35:14Shanghai obviously these enormous
- 00:35:17quantities can only have one goal to
- 00:35:19equip the Russian soldiers but it's very
- 00:35:22hard to prove this because they get
- 00:35:23labeled as things like Airsoft helmets
- 00:35:27other du us products include Ceramics
- 00:35:29drones and thermal optics Ceramics are
- 00:35:32not only used for mugs and plates and so
- 00:35:34on but also for military purposes
- 00:35:37because the material is so strong you
- 00:35:39can find it in armored vehicles and body
- 00:35:41armor in 2023 China sold $227 Million
- 00:35:46worth of Ceramics to Russia up from the
- 00:35:49135 million the year before and one
- 00:35:52thing is for sure this is not because
- 00:35:55teacups have gotten so popular in Moscow
- 00:35:58a noteworthy detail is that China only
- 00:36:00exported $5 million of Ceramics to
- 00:36:03Ukraine in
- 00:36:042023 this was less than a quarter of the
- 00:36:07$23 million before the war once again
- 00:36:10China is favoring Russia we can also see
- 00:36:13this in the exports of drones which are
- 00:36:15also dual use products you can use them
- 00:36:18just for fun or to discover enemy
- 00:36:21positions and drop grenades on them
- 00:36:24China has long been a drone supplier to
- 00:36:26Russia with $5 million worth of exports
- 00:36:29in 2023 but for Ukraine it's a different
- 00:36:33story China sold Ukraine $15 million
- 00:36:37worth of drones in 2021 but that came
- 00:36:39crashing down to just $3 million in
- 00:36:422023 Ukraine used to get cheap drones
- 00:36:45from China and then turn them into
- 00:36:46useful military tools however China
- 00:36:49noticed this and restricted its drone
- 00:36:51exports to Ukraine this was to prevent
- 00:36:54them being used for quote unquote non-p
- 00:36:56peaceful purposes meanwhile Beijing
- 00:36:58turns a blind eye to Russian drone
- 00:37:00purchases even when they are explicitly
- 00:37:03labeled for special military
- 00:37:05operations semiconductors are another
- 00:37:07Chinese dual use export to Russia which
- 00:37:09surged from 200 million to $500 million
- 00:37:12after the war interestingly Hong Kong is
- 00:37:15also a part of this technology Lifeline
- 00:37:17to Russia it supplied $400 Million worth
- 00:37:20of chips in 2022 alone not only does
- 00:37:24this help Russia deal with the economic
- 00:37:26impact of the sanctions
- 00:37:28but it is also vital for many defense
- 00:37:30systems in Russian drones and tanks the
- 00:37:33ukrainians are finding increasingly more
- 00:37:36Chinese made Electronics China is also
- 00:37:39providing support on the logistic side
- 00:37:41of Russia's war effort in December of
- 00:37:432022 super heavy truck shipments to
- 00:37:46Russia were up by 1,1
- 00:37:49143% you need those trucks to move heavy
- 00:37:52military equipment to the front lines
- 00:37:54and if we really dig deep we can find
- 00:37:57another way China is secretly supporting
- 00:37:59Russia I mean literally dig deep Russian
- 00:38:03Imports of shoveling equipment and
- 00:38:05excavators from China were up 100 and
- 00:38:08200% respectively although it doesn't
- 00:38:11seem obvious this is also dual use
- 00:38:13technology Russia is using these as
- 00:38:16trench digging equipment for the more
- 00:38:18than 600 M or around 1,000 km front line
- 00:38:22of course this is something that China
- 00:38:24gladly helped them
- 00:38:26with but the most most effective way
- 00:38:28that China is supporting Russia may be
- 00:38:30this with Machinery China is helping
- 00:38:33Russia to expand its military industrial
- 00:38:36base in 2023 90% of Russia's $900
- 00:38:40million Machine Tool Imports came from
- 00:38:43China this bypasses sanctions from other
- 00:38:46Machinery exporters like Germany and the
- 00:38:48United States the Chinese products will
- 00:38:50be used to build Russia's War economy
- 00:38:53something that's worrying NATO Russia is
- 00:38:56rapidly increasing in its production
- 00:38:58capacity with 520,000 new people being
- 00:39:01employed in its defense manufacturing
- 00:39:04since the start of the war and through
- 00:39:06trade and gun cotton and dual use
- 00:39:08products Russia can also rely on China's
- 00:39:11defense industry this makes its
- 00:39:13industrial base for a war of attrition
- 00:39:16even stronger both Xi Jinping and Putin
- 00:39:20realize that the conflict could be won
- 00:39:22this way because it's one of NATO's weak
- 00:39:24points NATO has the money but not the
- 00:39:26factory and the supply chains especially
- 00:39:29in the case of shells and gun cotton
- 00:39:31this is very
- 00:39:33unfortunate according to European
- 00:39:35Defense officials the few factories that
- 00:39:37it has are already running at full
- 00:39:39capacity it will take 3 years to
- 00:39:41increase gunpowder production because
- 00:39:43the supply lines for all kinds of raw
- 00:39:46materials are just not there yet it
- 00:39:48would be a huge blunder for NATO to lose
- 00:39:51the war in Ukraine over this but when we
- 00:39:53look at what's happened over the past 80
- 00:39:56years this was bound to happen in terms
- 00:39:59of quality the West Military has gotten
- 00:40:01more advanced than ever but in quantity
- 00:40:04there has been a huge decline during the
- 00:40:06world wars the US and European countries
- 00:40:08had huge factories for artillery shells
- 00:40:11and Gunpowder the US in particular
- 00:40:14proved itself as an industrial
- 00:40:15Powerhouse during World War II it
- 00:40:18created 41.4 billion rounds of small
- 00:40:21ammunition enough to shoot every human
- 00:40:23alive at the time 10 times yes they went
- 00:40:28a little bit over the top in US
- 00:40:30ammunition production alone 250,000
- 00:40:33people were working in the 25 assembly
- 00:40:35plants and 23 propellant and explosive
- 00:40:38plants in total ammunition factories
- 00:40:40were the size of New York City
- 00:40:42Philadelphia and Chicago combined but
- 00:40:45after the World Wars ended the United
- 00:40:47States and especially Europe lost a lot
- 00:40:49of their military industrial
- 00:40:51capabilities this was driven by a
- 00:40:53decrease in spending which made
- 00:40:55largescale ammunition production un
- 00:40:57feasable governments and defense
- 00:40:59manufacturers didn't want to invest in
- 00:41:01expensive factories when we look at
- 00:41:03these charts of German French and
- 00:41:05British defense spending as a percentage
- 00:41:07of GDP it becomes obvious they went from
- 00:41:10spending four to 7% of GDP on their
- 00:41:13militaries in 1960 to somewhere between
- 00:41:161 and 2% now ultimately this meant that
- 00:41:20they didn't Place enough orders for
- 00:41:21ammunition and after all why would they
- 00:41:24there seem to be no threat anymore after
- 00:41:26the Cold War war ended so military
- 00:41:28expenditures were just a waste of money
- 00:41:31and if things go really South there's
- 00:41:34always the protection of the United
- 00:41:35States under the NATO alliance the US
- 00:41:38retained some of its military industrial
- 00:41:40power as it still has the strongest
- 00:41:42military in the world but for America
- 00:41:45the priority anymore wasn't to fight
- 00:41:47Wars with huge front lines and large
- 00:41:49artillery campaigns after the world wars
- 00:41:53the US didn't really fight enemies with
- 00:41:55similar capabilities in AQ irq and
- 00:41:57Afghanistan the opposing armies were
- 00:41:59smaller and less sophisticated that's
- 00:42:02how it ended up with a monthly shell
- 00:42:03production of just 28,000 more wasn't
- 00:42:06really necessary as a result the US and
- 00:42:08NATO were a little bit surprised with
- 00:42:10the current war in Ukraine a war of
- 00:42:12attrition with just more than a 600 mile
- 00:42:15about 1,000 km long front line hasn't
- 00:42:18been fought in
- 00:42:20decades just for comparison one day in
- 00:42:23Ukraine is an entire month in
- 00:42:25Afghanistan in terms of am
- 00:42:27consumption to fight the proxy war with
- 00:42:30Russia NATO needs to adapt something
- 00:42:33that takes a long time by providing
- 00:42:36resources and Machinery China is giving
- 00:42:38its Ally the means to take advantage of
- 00:42:41this with a larger military production
- 00:42:43quantity Moscow has a bigger chance of
- 00:42:46achieving a victory now that we know how
- 00:42:47China is involved in the war on Ukraine
- 00:42:50we can move on to why it is even chosen
- 00:42:52to do so there are a few reasons why
- 00:42:55China would want Russia to sustain or
- 00:42:57even win the war in Ukraine the most
- 00:43:00obvious reason is perhaps the Taiwan War
- 00:43:02scenario Russia's proxy war with the
- 00:43:05NATO alliance depletes the West
- 00:43:07resources which is exactly what China
- 00:43:09needs for a possible attack on Taiwan
- 00:43:12most experts agree that China isn't able
- 00:43:14to invade Taiwan at the moment because
- 00:43:16of strong us defenses in the area but
- 00:43:19now the West needs to give all of its
- 00:43:21attention to Ukraine which has a direct
- 00:43:24effect on East Asia there is currently a
- 00:43:2619 billion doll arms sales backlog of
- 00:43:29Taiwanese orders for US aircraft and
- 00:43:31tanks this is partially because America
- 00:43:34has sent so much equipment to Ukraine
- 00:43:37when China sends gunpowder to Russia it
- 00:43:39will enable the Russian military to
- 00:43:41destroy even more americanmade equipment
- 00:43:44this will worsen the arms sales backlog
- 00:43:46to Taiwan Additionally the Ukraine war
- 00:43:49can also have a more subtle effect on
- 00:43:51the Taiwan War scenario a NATO defeat on
- 00:43:54a European Battlefield would have huge
- 00:43:57consequences it could demoralize and
- 00:43:59weaken the alliance giving China an
- 00:44:02advantage in Taiwan the NATO allies may
- 00:44:04not want to get into another costly
- 00:44:07conflict with huge Economic
- 00:44:10Consequences apart from the Taiwan
- 00:44:12Invasion there are more geopolitical
- 00:44:14motives to take in mind China now has a
- 00:44:17lot of influence in Russia due to the
- 00:44:19war perhaps reaching excessive levels
- 00:44:23after the sanctions hit China has
- 00:44:25stepped in to become the biggest trade
- 00:44:27partner of Russia in 2023 bilateral
- 00:44:30trade between the two had a record $240
- 00:44:34billion half of Russia's oil and
- 00:44:36petroleum exports now go to China and
- 00:44:39Russia has become China's largest crude
- 00:44:41oil supplier liquefied natural gas
- 00:44:44exports to China have jumped 47% in 2023
- 00:44:48and Russia is selling record amounts at
- 00:44:50the moment even though energy revenues
- 00:44:53are down China together with India is
- 00:44:55providing a lifeline for this crucial
- 00:44:58Russian industry and for the import
- 00:45:00market China is just as important as you
- 00:45:03can see on this chart Russia's Imports
- 00:45:05nearly haved following the invasion this
- 00:45:08was mainly because of sanctions from the
- 00:45:10European Union which was Russia's
- 00:45:12biggest import partner at the time but
- 00:45:14now Imports are back to their usual
- 00:45:16levels China is the sole reason for this
- 00:45:19increase with about 70% of Russia's
- 00:45:22Imports coming from the country right
- 00:45:24now Russia is buying so much from
- 00:45:26Chinese companies that shipping
- 00:45:28containers are piling up the Imports
- 00:45:30include large amounts of raw materials
- 00:45:33chemicals and industrial goods like
- 00:45:34Machinery things that Russia needs after
- 00:45:37the sanctions basically China has been a
- 00:45:40lifesaver for Russian Industries on top
- 00:45:43of that half of the Chinese goods are
- 00:45:45consumer oriented including fashion
- 00:45:47brands or cars since 2019 Chinese car
- 00:45:51sales in Russia have increased by
- 00:45:54900% but with these growing economic
- 00:45:56ties there is one thing that stands out
- 00:45:59for Russia China is an economic Lifeline
- 00:46:02being both the biggest Import and Export
- 00:46:04partner but for China the story's a
- 00:46:07little bit different in 2023 Russia made
- 00:46:10up only 3.4% of China's exports and 5.5%
- 00:46:14of imports the economic relations are so
- 00:46:18unbalanced that some argue that Russia
- 00:46:20has become a Chinese vassal state but
- 00:46:23there's one catch if China wants to
- 00:46:26retain its influence Ence at Russia the
- 00:46:28current regime must stay in power Putin
- 00:46:32needs to win the war by getting at least
- 00:46:34some territory or otherwise he will lose
- 00:46:37his support starting a war and then
- 00:46:39losing it is never received well by the
- 00:46:43populace so to wrap it all up China is
- 00:46:46far from neutral in the Ukraine war
- 00:46:48although the country likes to say it
- 00:46:50only wants peace it has way too many
- 00:46:52reasons to be on Putin's side as we've
- 00:46:55uncovered China is already helping its
- 00:46:57neighbor through massive gunpowder
- 00:46:59exports dual use products and Machinery
- 00:47:02the gunpowder trade in particular is
- 00:47:04fueling Russia's war effort this
- 00:47:06cooperation could turn out to be very
- 00:47:08successful because the two strategic
- 00:47:10Partners have found a weakness in NATO's
- 00:47:13industrial capacity this was Hong Kong
- 00:47:16Just 4 years ago
- 00:47:37millions of people took to the street to
- 00:47:40protest against the CCP and to fight for
- 00:47:43Hong Kong's Freedom tension turns to
- 00:47:46turmoil at the Hong Kong
- 00:47:50legislature people of Hong Kong TR to
- 00:47:52fight was to gain the basic human rights
- 00:47:56so um we need to stand for what we want
- 00:48:00and keep going on the number of
- 00:48:02protesters kept growing by the day the
- 00:48:05movement reached every corner of the
- 00:48:07world and it seemed like for the first
- 00:48:10time in forever that the will of the
- 00:48:13people may actually win they have been
- 00:48:16corrupting our system for a very long
- 00:48:18time and uh they um taking back many of
- 00:48:23our rights well people
- 00:48:25are afraid people are also angry about
- 00:48:28this extradition treating so everyone is
- 00:48:31coming out not just Hong kongers once we
- 00:48:33are using the quot if we burn you burn
- 00:48:36with us then we all kind of just forgot
- 00:48:40about it but the CCP and xiin ping
- 00:48:45didn't in fact this provided XI with the
- 00:48:48perfect opportunity to do what he always
- 00:48:51wanted ever since then the CCP just kept
- 00:48:54chipping away at Hong Kong freedom and
- 00:48:57Independence in fact this operation was
- 00:48:59so successful that in June of 2022 just
- 00:49:032 years after the protests xijinping
- 00:49:05held a Victory Parade in Hong Kong
- 00:49:09celebrating ccp's Victory against Hong
- 00:49:11Kong's Freedom Fighters during a small
- 00:49:14speech he said that after the Wind and
- 00:49:17Rain Hong Kong has risen From the
- 00:49:20Ashes what he really meant was that all
- 00:49:22of the resistance to China's central
- 00:49:24government rule was knocked
- 00:49:27down so today let's go over how the CCP
- 00:49:31took over Hong Kong while the whole
- 00:49:33world was
- 00:49:35distracted before we start YouTube was
- 00:49:38recently ordered to block Hong Kong
- 00:49:39protest videos in May of 2024 but at the
- 00:49:43end of the day people not talking about
- 00:49:45what's going on in Hong Kong makes the
- 00:49:47ccp's life a lot easier so I'm sure this
- 00:49:50video is not going to farewell in the
- 00:49:52algorithm so if you can just take a
- 00:49:54second and hit that like button below
- 00:49:56it'll help me out out tremendously
- 00:49:58thanks so much
- 00:49:59guys now let's start with the obvious
- 00:50:01question why did this territory have an
- 00:50:04independent government from China in the
- 00:50:06first place the story actually begins in
- 00:50:08the 19th century where the Chinese
- 00:50:10emperor agreed that Britain could lease
- 00:50:12an area on the Chinese Coast or rather
- 00:50:15the emperor really had little choice in
- 00:50:17the matter the concession of these
- 00:50:20Coastal territories was forced into the
- 00:50:22peace treaty after the first and second
- 00:50:24Opium Wars basically Britain was selling
- 00:50:27drugs to the Chinese and the Chinese
- 00:50:29emperor didn't appreciate this the
- 00:50:32addiction problem was getting out of
- 00:50:34hand because eventually 90 million out
- 00:50:36of the 300 million Chinese were hooked
- 00:50:39on opium on top of that the Opium
- 00:50:41Imports were causing a significant
- 00:50:43economic drain China and Britain fought
- 00:50:46two Wars over this drug trade and in the
- 00:50:49second one France also joined the fight
- 00:50:52against China because the Western
- 00:50:54militaries had a military Edge they were
- 00:50:57winning the war and could enforce their
- 00:50:59terms in the peace treaty at the end of
- 00:51:01the first Opium War in 1842 Britain took
- 00:51:04control over Hong Kong Island on the 1st
- 00:51:07of July 1898 after the second Opium War
- 00:51:11the British got a 99-year lease on Hong
- 00:51:14Kong Island and the surrounding new
- 00:51:17territories before this period of
- 00:51:19British rule the area was far from the
- 00:51:22Metropolis as we know it today it was
- 00:51:24mostly occupied by fishermen and there
- 00:51:26was some smallscale trade this all
- 00:51:29changed in the 19th and 20th Century
- 00:51:31though Hong Kong's population
- 00:51:34skyrocketed from a few thousand to more
- 00:51:36than 6 million the city became an
- 00:51:40international trade Hub and one of the
- 00:51:42most prominent cities in East Asia this
- 00:51:45was due to its free port and its
- 00:51:47connections with the rest of the vast
- 00:51:49British Empire in its first years Hong
- 00:51:52Kong remained an open opium Port but it
- 00:51:55was also a trade hub for tea and silk
- 00:51:58after a brief but disastrous period of
- 00:52:00Japanese Occupation during World War II
- 00:52:02The Colony returned to Britain where the
- 00:52:05mainland of China was still struggling
- 00:52:07under rule H Kong's free market economy
- 00:52:11could make progress much fter AIT in the
- 00:52:131950s the area had booming textile
- 00:52:16industry and later it also became an
- 00:52:18Electronics exporter Hong Kong was one
- 00:52:20of the four Asian tigers together with
- 00:52:23South Korea Singapore and Taiwan who
- 00:52:25made rapid economic progress between
- 00:52:271950 and 1990 this period of British
- 00:52:30rule has a lasting impact until today as
- 00:52:34the English language and parts of
- 00:52:35Western culture remain in the city but
- 00:52:38we should also mention the downsides of
- 00:52:40the colonial era not everyone was happy
- 00:52:43with colonial rule and there was a lot
- 00:52:45of social unrest there were riots in
- 00:52:481956 1966 1967 and
- 00:52:521981 Hong Kong was the last substantial
- 00:52:55British col
- 00:52:57and many felt that the days of European
- 00:52:59colonialism were over when the lease was
- 00:53:02coming to an end in 1997 Britain agreed
- 00:53:04to return the city to China there was
- 00:53:07only one problem though in a second
- 00:53:08we'll get into that right now let's
- 00:53:10quickly talk about some new changes to
- 00:53:12YouTube I'm sure some of you guys have
- 00:53:14noticed that whenever you go to your
- 00:53:16homepage on YouTube you get some videos
- 00:53:18recommended from channels that are
- 00:53:20extremely new here's an example this
- 00:53:23change is relatively new and it actually
- 00:53:25provides a perfect opportunity for new
- 00:53:27channels to get started and grow quickly
- 00:53:29in fact many channels have used this
- 00:53:31exact thing to grow an audience in the
- 00:53:33last 12 months they have gotten millions
- 00:53:36of views and made thousands of dollars
- 00:53:38from them in fact there are millions of
- 00:53:41faceless YouTube channels making content
- 00:53:43and earning ad Revenue in just the last
- 00:53:453 years YouTube has paid out $70 billion
- 00:53:49to creators that's around $60 million
- 00:53:53every single day so if you're someone
- 00:53:55who's interested in starting a YouTube
- 00:53:57channel right now is the perfect time
- 00:53:59that's why we've launched a completely
- 00:54:01free 7-Day email crash course on how to
- 00:54:04start and grow a faceless YouTube
- 00:54:06channel if that's something you're
- 00:54:07interested in you can sign up now for
- 00:54:09free by clicking the link in the
- 00:54:11description or scanning the QR code on
- 00:54:13the screen all right now let's get back
- 00:54:15to the topic at hand when the lease was
- 00:54:17coming to an end in 1997 Britain agreed
- 00:54:20to return the city to China there was
- 00:54:22only one problem though China was ruled
- 00:54:24by the Chinese Communist Party the
- 00:54:27authoritarian ideology of the Chinese
- 00:54:29government could be a threat to the
- 00:54:31people of Hong Kong that's why the UK
- 00:54:33struck a deal with the then Paramount
- 00:54:35leader Jang zamin to secure 50 years of
- 00:54:38free market capitalism and political
- 00:54:41freedoms in the city this came at a time
- 00:54:43when the Socialist market economy
- 00:54:45started to come up in China and various
- 00:54:48special economic zones were created so
- 00:54:51the economic freedoms that Hong Kong
- 00:54:52enjoyed weren't that unique but what
- 00:54:55stood out was the political status of
- 00:54:57the territory until 2047 the city will
- 00:55:01have its own legislative executive and
- 00:55:03judicial powers this includes its own
- 00:55:05currency Financial policies education
- 00:55:08system Etc the separate political system
- 00:55:11is formulated in the basic law Hong
- 00:55:13Kong's own mini Constitution it says
- 00:55:17that the Hong Kong government should
- 00:55:18eventually be selected by free and fair
- 00:55:21elections there was one provision though
- 00:55:23the implementation of this democracy
- 00:55:25should follow the quot quote unquote
- 00:55:27principle of gradual and orderly
- 00:55:29progress through mechanisms like an
- 00:55:31election committee Hong Kong was never a
- 00:55:34true democracy and over the last decades
- 00:55:36it's become clear that it never will be
- 00:55:39the CCP has been chipping away at the
- 00:55:41city's unique freedoms and Hong kongers
- 00:55:44got less and less say over their own
- 00:55:47government but before we go into how the
- 00:55:49CCP is enforcing its control over Hong
- 00:55:51Kong we first need to understand why it
- 00:55:53gave the city its freedom in the first
- 00:55:55place after all Beijing had the right to
- 00:55:58just take over the territory in one go
- 00:56:01back in
- 00:56:011997 but the independence of Hong Kong
- 00:56:04actually has benefits for the mainland
- 00:56:07the city is the international Gateway
- 00:56:09for China for foreign investment and
- 00:56:12Finance in 2022 More than 70% of China's
- 00:56:16utilized foreign direct investment came
- 00:56:18from Hong Kong reaching $137 billion in
- 00:56:23a single year this has gained steam over
- 00:56:26the last two decades now these billions
- 00:56:29aren't coming from Hong Kong itself with
- 00:56:31a GDP of $360 billion it can't possibly
- 00:56:35send 137 billion a year worth of
- 00:56:38Investments to China most of the money
- 00:56:40actually comes from financial
- 00:56:42institutions based in other countries
- 00:56:44who use Hong Kong as a conduit for China
- 00:56:48this has to do with Hong Kong's unique
- 00:56:49Financial system although Singapore
- 00:56:52overtook it in 2022 it used to be Asia's
- 00:56:55Financial hub and the third biggest
- 00:56:57Financial Center in the world the reason
- 00:57:00it's so popular is that the city has its
- 00:57:02own Financial regulations and currency
- 00:57:04which makes it attractive for foreign
- 00:57:06investors both institutions and Retail
- 00:57:09investors prefer not to put their money
- 00:57:11directly into China because of the risks
- 00:57:14associated with it it's not really a
- 00:57:16free market economy so there's always
- 00:57:18the chance that the CCP intervenes also
- 00:57:21the Chinese government doesn't really
- 00:57:22welcome foreign investors on the
- 00:57:24mainland in order to invest directly you
- 00:57:26need licenses such as the qualified
- 00:57:29foreign Institutional Investor and even
- 00:57:32after you obtain such a license after a
- 00:57:34long bureaucratic process you are still
- 00:57:37subject to strict CCP guidelines because
- 00:57:41this is such a hassle much of the
- 00:57:43investment goes through the Hong Kong
- 00:57:45stock connect and bond connect markets
- 00:57:48these are Financial schemes for Hong
- 00:57:50Kong investors which make it easy to
- 00:57:53access the shinin and Shanghai stock
- 00:57:55exchanges
- 00:57:58what makes Hong Kong even more appealing
- 00:57:59as a financial Gateway is the currency
- 00:58:02situation in order to buy Chinese uan
- 00:58:04denominated assets with US Dollars going
- 00:58:07through Hong Kong is by far the easiest
- 00:58:09way the Hong Kong dollar is pegged to
- 00:58:12the US dollar which makes transactions
- 00:58:14very stable meanwhile the Chinese Yuan
- 00:58:17and the US dollar aren't fully
- 00:58:18convertible due to Capital restrictions
- 00:58:21however it's possible to transfer your
- 00:58:23US Dollars into Hong Kong dollars and
- 00:58:26and then convert them into Chinese yuan
- 00:58:27in Hong Kong this setup is all on
- 00:58:30purpose of course for the Chinese
- 00:58:32government it's a way to get foreign
- 00:58:34cash without being directly exposed to
- 00:58:36International currency markets this
- 00:58:38Shields it from a lot of financial
- 00:58:40instability and potential crises Hong
- 00:58:43Kong's strategic location in the greater
- 00:58:45Bay Area the GBA in short only helps
- 00:58:48with its function as an International
- 00:58:50Bank for China the area houses around 86
- 00:58:53million people with a combined GDP of
- 00:58:55around $ 1.9
- 00:58:57trillion this includes the third and
- 00:58:59fifth biggest cities in China by GDP
- 00:59:02namely kuang shao in shenen there are a
- 00:59:06lot of booming Enterprises nearby and
- 00:59:08all of them need investment and Loans to
- 00:59:11keep growing this financial incentive
- 00:59:13was one of the main reasons why the CCP
- 00:59:15didn't completely take over the city in
- 00:59:181997 as a strategic conduit Hong Kong
- 00:59:21has been one of the key drivers of
- 00:59:23China's economic rise over the past
- 00:59:25decades
- 00:59:26however Hong Kong's political freedoms
- 00:59:28didn't fit into China's interests
- 00:59:31perhaps it was too dangerous for the CCP
- 00:59:33to have a beat of fre speech and
- 00:59:35democracy right next door as the
- 00:59:38citizens in the
- 00:59:39mainland dangerous
- 00:59:41ideas in 1991 Hong Kong H first
- 00:59:45legislative election in operation of the
- 00:59:48split with the UK there were two camps
- 00:59:51in this election the pro-democracy side
- 00:59:53pushing for more democratic reforms and
- 00:59:56the pro Beijing side which sought closer
- 00:59:59ties with the mainland and the CCP the
- 01:00:01pro-democracy side won in a landslide
- 01:00:05the biggest party was the United
- 01:00:07Democrats of Hong Kong led by Martin Lee
- 01:00:09aka the father of democracy slowly but
- 01:00:12surely though the pro Beijing Camp began
- 01:00:15to gain political power and it wasn't
- 01:00:17exactly fair play to understand this we
- 01:00:20have to look a bit closer at Hong Kong's
- 01:00:22political system after
- 01:00:241997 the most important man in Hong Kong
- 01:00:26is the chief executive in some ways
- 01:00:28similar to the president in the US but
- 01:00:31there's one big difference the chief
- 01:00:33executive isn't chosen through a popular
- 01:00:35vote but via an election committee and
- 01:00:38only part of this committee is elected
- 01:00:40by the people the rest of the committee
- 01:00:42consists of representatives from various
- 01:00:44sectors businesses professional groups
- 01:00:46and political organizations in other
- 01:00:49words a mix of special interest groups
- 01:00:51the same holds true for Hong Kong's
- 01:00:53legislative Council the leg Co in short
- 01:00:56this Council approves laws and budgets
- 01:00:58and keeps the executive branch of the
- 01:01:00government in check kind of similar to
- 01:01:02the US Congress but the legco is also
- 01:01:05fundamentally different in how it's
- 01:01:06elected under the initial electoral
- 01:01:09system 10 out of 60 seats were
- 01:01:11determined by the same election
- 01:01:13committee we talked about earlier half
- 01:01:15of the seats were chosen by functional
- 01:01:17constituencies a group of
- 01:01:18representatives from special interest
- 01:01:20groups only 20 out of the 60 seats were
- 01:01:23actually voted on by the public to this
- 01:01:25day non-elected Representatives have a
- 01:01:27lot of influence on the elections this
- 01:01:30whole setup might sound a bit vague but
- 01:01:33I mean that's exactly the point it has
- 01:01:35created an intentional loophole for the
- 01:01:37CCP to get political say in Hong Kong
- 01:01:40you see many businessmen and sectors are
- 01:01:42on the pro Beijing side and it's no
- 01:01:45wonder China is Hong Kong's main trading
- 01:01:47partner and Hong Kong is a nation
- 01:01:50dependent on trade trade in goods and
- 01:01:53services flowing through the country is
- 01:01:54worth nearly four times GDP many of the
- 01:01:58non-elected representatives from
- 01:02:00businesses and professions benefit from
- 01:02:02this with their political power they're
- 01:02:04obviously choosing a pro-establishment
- 01:02:07candidate we should also take into
- 01:02:09account that it's much easier to
- 01:02:10influence these special interest groups
- 01:02:12compared to normal voters the CCP does
- 01:02:15this through the Hong Kong liaison
- 01:02:17office which is the party's Hub in the
- 01:02:18city the building looks like you'd
- 01:02:20expect it to a big glass and concrete
- 01:02:23Tower straight out of George Orwell's
- 01:02:241984
- 01:02:26the office is responsible for promoting
- 01:02:28the mainland's interests and it has very
- 01:02:30close ties with special interest groups
- 01:02:32and pro Beijing politicians it organizes
- 01:02:35and funds the major pro-establishment
- 01:02:37parties and it manages their electoral
- 01:02:40campaigns the liaison office even owns
- 01:02:42various media Outlets including three
- 01:02:44prob Beijing newspapers and Hong Kong's
- 01:02:46biggest book publishing company however
- 01:02:49its most important job is lobbying the
- 01:02:51non-elected representatives to vote for
- 01:02:53the pro Beijing party there's a severe
- 01:02:57lack of transparency so this could
- 01:02:59involve offering economic incentives or
- 01:03:01possibly even just bribes the effects of
- 01:03:04this flawed electoral system showed in
- 01:03:06the 1998 legislative election the
- 01:03:08pro-democracy side won 2third of the
- 01:03:10popular vote but only got onethird of
- 01:03:13the seats the following elections had
- 01:03:15similar results where the government
- 01:03:17wasn't really representing what the
- 01:03:19people voted for a lot of people got
- 01:03:21frustrated because of this since the
- 01:03:23Hong Kong basic law promises a true
- 01:03:26democracy sometime in the future when it
- 01:03:29looked like the CCP wouldn't allow that
- 01:03:30to happen the clashes began there were
- 01:03:33already annual protests with the July
- 01:03:351st marches marking the day of the
- 01:03:38Handover to China but in 2023 it got to
- 01:03:42a whole another level half a million
- 01:03:45people took part in that Year's March
- 01:03:48China coration government tried to
- 01:03:50implement Corporation making acts of
- 01:03:53treason and secession against the CC P
- 01:03:56illegal because of the immense push back
- 01:03:59the law was put on hold and didn't get
- 01:04:01implemented that year but in 2005 things
- 01:04:04got heated again the prob beian
- 01:04:06Government tried to implement a new
- 01:04:08electoral system which honestly didn't
- 01:04:11change much the representatives would
- 01:04:13hold their power and nothing was really
- 01:04:15done to achieve a democracy the
- 01:04:17pro-democracy side demanded more than
- 01:04:20just a facade in December of 2005 tens
- 01:04:24of thousands of people took took to the
- 01:04:26streets in protest of this ultimately
- 01:04:28the proposed reform didn't get passed
- 01:04:30partially because of public pressure
- 01:04:33this only postponed the problem though
- 01:04:35as the public still didn't have the
- 01:04:36Electoral reform it was promised China
- 01:04:39intended to keep it that way for a while
- 01:04:42in 2007 it ruled that Hong Kong couldn't
- 01:04:45directly elect its leaders until 2017
- 01:04:48and its legislative Council until 2020
- 01:04:51the pro-democracy and pro Beijing
- 01:04:53parties together with the liaison office
- 01:04:55Ed long talks to see what could be
- 01:04:58achieved but some legislators were fed
- 01:05:01up with the way things were going and
- 01:05:02resigned in order to trigger an election
- 01:05:05they saw this as a deao referendum in
- 01:05:08order to let the people voice their
- 01:05:09opinion on Democracy the plan kind of
- 01:05:13failed with a low voter turnout and
- 01:05:15criticism from the other parties there
- 01:05:17seemed to be some slight progress in
- 01:05:192010 with a new electoral reform that
- 01:05:22actually passed more sectors were
- 01:05:24represented in the election committee
- 01:05:26and through direct and district-based
- 01:05:28voting people got more electoral power
- 01:05:30over the legco but this reform was more
- 01:05:33of an appeasement than actual democracy
- 01:05:36the following elections had similar
- 01:05:38results because the non-elected
- 01:05:39representatives continued to have a
- 01:05:41large say still the people of Hong Kong
- 01:05:44had hoped that democracy would
- 01:05:46eventually come in
- 01:05:482017 that is until August of
- 01:05:512014 the CCP revealed its proposal for
- 01:05:54the 2017 chief executive election and it
- 01:05:57was quite disappointing basically the
- 01:06:00people of Hong Kong would be allowed to
- 01:06:02directly choose their preferred
- 01:06:03candidate except that each candidate
- 01:06:05needs approval from a new committee this
- 01:06:08committee was a similar idea as the
- 01:06:10election committee as it consisted of
- 01:06:13the same special interest groups it had
- 01:06:15people representing businesses
- 01:06:17professions communities and political
- 01:06:19groups there were even people tied to
- 01:06:21the CCP in this committee basically you
- 01:06:24had the same system guaranteeing CCP
- 01:06:26influence only in a different format
- 01:06:29this angered many people and triggered
- 01:06:31the 2014 umbrella movement for months on
- 01:06:35end starting in September students
- 01:06:37blocked major roads and intersections in
- 01:06:40protest but this is the movement where
- 01:06:42the pro beijan government showed its
- 01:06:44true face the police used tear gas on
- 01:06:47the protesters the pro Beijing site even
- 01:06:50used criminal gangs to attack dissonant
- 01:06:52in what are called Triad attacks this
- 01:06:55was a watershed moment which turned the
- 01:06:57political debate into a conflict many
- 01:07:00young people turned against the
- 01:07:01government meanwhile the proban camp saw
- 01:07:04the protest as a violation of the rule
- 01:07:07of law instigated by western actors
- 01:07:10legislators understood the public
- 01:07:12pressure though and opted out of the
- 01:07:14proposed electoral reform once again
- 01:07:17nothing much changed and the government
- 01:07:20remained close to the CCP there was a
- 01:07:23return to stability for the next few
- 01:07:25years but none of the divisions were
- 01:07:26solved it was bound to go wrong again
- 01:07:29which it did in 2019 the Hong Kong
- 01:07:32government proposed a controversial
- 01:07:34extradition Bill allowing for fugitives
- 01:07:37to be transferred to China maau and
- 01:07:40Taiwan what this really meant was that
- 01:07:42the enemies of the CCP could expect to
- 01:07:45spend the rest of their life in a
- 01:07:47Chinese prison basically an extradition
- 01:07:50agreement would mean that people in Hong
- 01:07:51Kong are subject to the ccp's laws
- 01:07:54because this absolutely demolished any
- 01:07:57hopes of free speech many students took
- 01:07:59to the streets again and others followed
- 01:08:02the first pro-democracy protests began
- 01:08:04in March of 2019 and they continued for
- 01:08:07more than a year on several occasions
- 01:08:09hundreds of thousands of people were
- 01:08:11protesting at the same time the biggest
- 01:08:14protest occurred on the 16th of June
- 01:08:162019 where organizers estimated 2
- 01:08:18million people went to the streets that
- 01:08:21would be about 30% of the entire City's
- 01:08:24population one of the most violent
- 01:08:26protests was the storming of the
- 01:08:28legislative Council complex in July of
- 01:08:312019 people broke through glass walls
- 01:08:33and doors and entered the government
- 01:08:35building in order to prevent the
- 01:08:37extradition bill from being passed the
- 01:08:39Damage Done during the storming led to a
- 01:08:41shutdown of the complex for 3 months
- 01:08:44they succeeded in their objective as the
- 01:08:46chief executive announced the bill was
- 01:08:47quote unquote dead and it was delayed
- 01:08:51indefinitely even though the immediate
- 01:08:53threat of the extradition bill was over
- 01:08:55the protest continued with the momentum
- 01:08:57buildup people demonstrated for other
- 01:08:59demands too there were five to be
- 01:09:02precise the first one had to do with the
- 01:09:04definitive withdrawal of the extradition
- 01:09:06bill so that the legislative process
- 01:09:09couldn't be resumed protesters also
- 01:09:11wanted the current chief executive to
- 01:09:13resign and a new directly elected
- 01:09:16government the third and fourth demands
- 01:09:18were accountability for the police
- 01:09:20behavior during the protests and the
- 01:09:21release of protesters arrested due to
- 01:09:24their political beliefs additionally
- 01:09:26they demanded that peaceful protests
- 01:09:27shouldn't be treated as riots by the
- 01:09:30government inspired by the Baltic way
- 01:09:32protests of 1989 where people in the
- 01:09:35Baltic states formed a human chain of 2
- 01:09:37million people Hong kongers organized
- 01:09:39the Hong Kong way protest in August of
- 01:09:422019 an estimated 210,000 people formed
- 01:09:46a chain of more than 30 miles about 50
- 01:09:50km because of the large backing among
- 01:09:53students there were also huge protests
- 01:09:55on University campuses this created
- 01:09:58clashes between student protesters and
- 01:09:59Riot police at the Chinese University of
- 01:10:01Hong Kong the Hong Kong University of
- 01:10:03Science and Technology and the Hong Kong
- 01:10:06Polytechnic University the last one was
- 01:10:08occupied by the pro democracy Camp which
- 01:10:11led to a police Siege and storming
- 01:10:14protesters threw bricks and petrol bombs
- 01:10:17and the police used tear gas and rubber
- 01:10:18bullets there were also cases of police
- 01:10:21brutality exactly the thing people were
- 01:10:23protesting against an example of this
- 01:10:26was the prince Edward Metro station
- 01:10:28incident where the police
- 01:10:30indiscriminately attacked passengers and
- 01:10:32arrested protesters still there were
- 01:10:34also people opposed to the protesters
- 01:10:37and in favor of the government they
- 01:10:39organized prob Beijing protests such as
- 01:10:41the Safeguard Hong Kong rally some were
- 01:10:44wearing blue ribbons in support of the
- 01:10:46police force the two groups of
- 01:10:47protesters often clashed people tore
- 01:10:50down pro-democracy posters and graffiti
- 01:10:53one extremist even attacked protesters
- 01:10:55with a knife others rammed their cars
- 01:10:57into crowds of demonstrators there were
- 01:11:00also instances where villagers and
- 01:11:02supposed gang members ambushed groups
- 01:11:04with wooden sticks and metal rods the
- 01:11:07most well-known incident was the 2019
- 01:11:09Yuan long attack where a group of men in
- 01:11:12white t-shirts attacked protesters at a
- 01:11:14metro station causing tens of injuries
- 01:11:17they could have been vigilante groups
- 01:11:19who felt that the police weren't
- 01:11:20hard-handed enough but the more likely
- 01:11:23explanation is that these people were
- 01:11:24hired by the pro Beijing Camp either way
- 01:11:27it was clear who side the police were on
- 01:11:30despite 24,000 emergency calls the
- 01:11:32police force didn't show up on time and
- 01:11:35made no arrests but in all fairness the
- 01:11:37pro-democracy side was also not innocent
- 01:11:40a pro Beijing lawmaker called Junius hoe
- 01:11:43was stabbed and his family's Graves
- 01:11:46desecrated this was allegedly a
- 01:11:49retaliation for the one long attacks
- 01:11:51where the lawmaker would have played a
- 01:11:53role and a political citizens of Hong
- 01:11:56Kong were also victims a 70-year-old
- 01:11:58resident died because of a fatal head
- 01:12:00injury when pro-democracy protesters
- 01:12:02were throwing bricks amidst all this
- 01:12:05chaos Hong Kong held local elections in
- 01:12:07November of
- 01:12:082019 many people saw this as a
- 01:12:11referendum about the extradition Bill
- 01:12:13the voter turnout was record-breaking
- 01:12:16with 71% of registered voters casting
- 01:12:19their vote and the pro-democracy parties
- 01:12:22won with a historical Landslide they got
- 01:12:25nearly 90% of the total seats in the
- 01:12:27direct elected district council with 388
- 01:12:30out of 452 seats the following covid
- 01:12:34pandemic drew the attention away for a
- 01:12:36few months but in May of 2020 perhaps
- 01:12:39the most important development of all
- 01:12:42happened following the election result
- 01:12:44the Chinese authorities began drafting a
- 01:12:46new law to be implemented in the Hong
- 01:12:48Kong basic law and yes the CCP can
- 01:12:51actually do that there's some sort of
- 01:12:54intentional loophole where China can add
- 01:12:56a law to Hong Kong's Constitution by way
- 01:12:59of promation sounds complicated but it's
- 01:13:02actually relatively simple when the
- 01:13:03chief executive publishes the new
- 01:13:05legislator in the government newspaper
- 01:13:07the law is immediately in effect there's
- 01:13:09no voting process and the chief
- 01:13:11executive is always a pro Beijing
- 01:13:13politician by Design so that's exactly
- 01:13:16what happened on the 21st of May 2020
- 01:13:19suddenly there was a new National
- 01:13:21Security Law which made secession
- 01:13:23foreign interference terrorism and
- 01:13:26subversion against the central
- 01:13:28government illegal in other words it
- 01:13:30gave the CCP and the proban government
- 01:13:33more than enough room to arrest and
- 01:13:35criminalize any opposition by the way
- 01:13:38the CCP already tried to get this law
- 01:13:40through in 2003 right in the middle of
- 01:13:42the SARS outbreak funny how it always
- 01:13:44pushes these things during like a novel
- 01:13:46Corona virus outbreak perhaps it gives
- 01:13:48an excuse to prevent Mass protests as it
- 01:13:51will be a public health hazard anyway
- 01:13:53with these new powers that their
- 01:13:55disposal the proban government and the
- 01:13:57CCP continued with their Crackdown on
- 01:14:00opposition in the next legislative
- 01:14:02election 12 candidates for the
- 01:14:04pro-democracy side were banned according
- 01:14:07to a government spokesman they sought
- 01:14:08secession from China and intervention
- 01:14:11from foreign governments with the new
- 01:14:13National Security Law those things have
- 01:14:15become illegal the Chinese authorities
- 01:14:18went even further in November of 2020
- 01:14:21they passed a new resolution saying that
- 01:14:23the Hong Kong Executives can moove
- 01:14:25legislators in the legislative Council
- 01:14:28four sitting pro-democracy legislators
- 01:14:30were immediately disqualified and their
- 01:14:3315 colleagues resigned in protest
- 01:14:36meanwhile the Hong Kong authorities used
- 01:14:38the national security law to crack down
- 01:14:40an activists and protesters since the
- 01:14:43imposition of the law 299 people have
- 01:14:45been arrested this includes a lot of
- 01:14:48high-profile people who were obviously
- 01:14:50the first Target of the CCP Joshua Wong
- 01:14:53and Agnes Chow both activists turned
- 01:14:55politicians had to spend some time in
- 01:14:57jail for violating National Security
- 01:15:00another arrest which made headlines all
- 01:15:02over the world is that of Jimmy lie he
- 01:15:04was a businessman and politician and one
- 01:15:07of the most powerful pro-democracy
- 01:15:09figures in the whole city Jimmy lie got
- 01:15:11rich with a clothing retail company and
- 01:15:13moved into the media business later his
- 01:15:15Media company NeXT digital became the
- 01:15:18largest media company in Hong Kong
- 01:15:20largely due to the popular Apple Daily
- 01:15:23newspaper this news Outlet was very
- 01:15:25critical of the Chinese government as
- 01:15:27was Jimmy lie the billionaire was one of
- 01:15:29the main donors to the Democratic party
- 01:15:31in Hong Kong Li was obviously a big
- 01:15:34Target for the CCP and he was arrested
- 01:15:37in 2020 and jailed in 2021 as of writing
- 01:15:40this video he's been locked up for 3
- 01:15:42years and is facing a life sentence when
- 01:15:45the leaders of the resistance movement
- 01:15:47are removed and jailed the rest of the
- 01:15:50protesters lose confidence in this way
- 01:15:53the CCP managed to Crush any hopes of a
- 01:15:56return to democracy with the reduced
- 01:15:58public resistance beijing's plan
- 01:16:01continued before the 2021 legislative
- 01:16:04elections the Chinese authorities made
- 01:16:06some sweeping reforms only quote unquote
- 01:16:10Patriots loyal to China could run and
- 01:16:13the number of directly elected seats was
- 01:16:15drastically reduced only 20 out of the
- 01:16:1790 seats could be chosen by the people
- 01:16:20and the directly elected District
- 01:16:22councils had significantly less power in
- 01:16:25the new system now it was clear to
- 01:16:27everyone Hong Kong wasn't a democracy
- 01:16:30anymore but a vassel state to the CCP
- 01:16:33for the last 3 years or so this
- 01:16:36situation continued in June of 2022 XI
- 01:16:39jingping visited Hong Kong for the 25th
- 01:16:41anniversary of the Handover but it was
- 01:16:44also something like a Victory Parade for
- 01:16:46him since the political opposition was
- 01:16:49effectively stopped it was also his
- 01:16:51first visit outside of mainland China
- 01:16:54after the start of of the co pandemic
- 01:16:56during a small speech he said that after
- 01:16:58the wind and the rain Hong Kong has
- 01:17:01risen From the Ashes what he really
- 01:17:03meant was that all of the resistance to
- 01:17:05China's central government rule was
- 01:17:07knocked down a few days later xiin ping
- 01:17:10was there at the inauguration of the new
- 01:17:12chief executive this was after a sham
- 01:17:16election with a voter turnout of just
- 01:17:1830% and only Pro Beijing candidates in
- 01:17:22his inauguration speech xijinping said
- 01:17:24that he was happy only Patriots could
- 01:17:27hold office in Hong Kong the pro Beijing
- 01:17:30government continued its Crackdown on
- 01:17:32opposition arresting tons of people in
- 01:17:352024 people are still being prosecuted
- 01:17:37for their involvement in the 2019
- 01:17:39protests many activists fled the country
- 01:17:43but even there they weren't safe the
- 01:17:45Hong Kong police have offered a million
- 01:17:48Hong Kong dollars and bounties for five
- 01:17:50activists overseas as if the current
- 01:17:52legislation wasn't effective enough in
- 01:17:54silencing opposition the Hong Kong
- 01:17:57legislators passed another National
- 01:17:59Security Law in March of 2024 it's
- 01:18:02called article 23 and it's even more
- 01:18:05authoritarian than the previous one when
- 01:18:07people are convicted of treason
- 01:18:09Insurrection and sabotage together with
- 01:18:11external actors they can now get a life
- 01:18:14sentence in jail collusion with external
- 01:18:17forces for any other crime gives you 2
- 01:18:20to 3 years Espionage and sabotage can be
- 01:18:24punished with up to 20 years in prison
- 01:18:26and inciting hatred against the CCP is
- 01:18:28now punished with a 10year imprisonment
- 01:18:31the last one is perhaps the most
- 01:18:33dangerous of all as it's the vaguest and
- 01:18:36can be applied to everyone disagreeing
- 01:18:39with the
- 01:18:40party if we look into the future the
- 01:18:42picture is also not very bright the one
- 01:18:45country two systems framework will come
- 01:18:47to an end in
- 01:18:482047 exactly 50 years after the Handover
- 01:18:51to China as flawed and dysfunctional as
- 01:18:54it is the two systems idea was arguably
- 01:18:57better than direct CCP Rule and it
- 01:18:59doesn't look like the CCP will grant
- 01:19:01Hong Kong an additional few years of
- 01:19:04self-governance because of the increased
- 01:19:06competition with the US Beijing has
- 01:19:08become less tolerant towards things like
- 01:19:10democracy and Free Speech the risk that
- 01:19:13an independent Hong Kong will align
- 01:19:15itself with the US is just too big so
- 01:19:19with the knowledge that Hong Kong has
- 01:19:20only 23 years left there are only two
- 01:19:22things that the city's inhabitants can
- 01:19:24do do they can either flee using a
- 01:19:26British Visa program or they can wait
- 01:19:30and see what life is like under an
- 01:19:32authoritarian regime a scandal rocks New
- 01:19:35York as news has come out that there has
- 01:19:37been a Chinese agent influencing New
- 01:19:38York's politics for a decade former Aid
- 01:19:41to New York Governor Kathy hok Linda sun
- 01:19:43has been arrested and charged with
- 01:19:45acting as a Chinese agent during her
- 01:19:46time in government goal of the agent was
- 01:19:48to push CCP agendas to block relations
- 01:19:51between the US and Taiwan an unsealed
- 01:19:53copy of the indictment revealed she was
- 01:19:54was charged with violating and
- 01:19:56conspiring to violate the foreign agents
- 01:19:58registrations act Visa fraud alien
- 01:20:00smuggling and money laundering
- 01:20:01conspiracy son's husband Chris hoe was
- 01:20:04also arrested on money laundering
- 01:20:05conspiracy conspiracy to commit bank
- 01:20:07fraud and misusing means of
- 01:20:08identification well the former Aid to
- 01:20:10governor hokel and Andre Cuomo has been
- 01:20:12arrested and now faces federal charges
- 01:20:14of acting as an agent for the Chinese
- 01:20:17government all right Linda son and her
- 01:20:18husband were taken into custody at their
- 01:20:20Long Island home this morning and both
- 01:20:21went before a judge this afternoon as
- 01:20:23you can imagine the video revealing
- 01:20:25hidden agendas by China is not good for
- 01:20:27the CCP in response to this Bots work
- 01:20:29hard to drown out our videos making it
- 01:20:31harder for you guys to find them if you
- 01:20:33give this video a like you can help our
- 01:20:35content push back up and we can keep
- 01:20:37bringing you guys news like this let's
- 01:20:38get into the video prosecutors on the
- 01:20:40case alleged that sun used her role in
- 01:20:42government to push Chinese agenda by
- 01:20:44blocking meetings with Taiwanese
- 01:20:45officials during her time under Governor
- 01:20:47Andrew Cuomo using her influence in
- 01:20:49speech writing she's also accused of
- 01:20:50steering messaging away from criticism
- 01:20:52of beijing's persecution of weager mus
- 01:20:54Muslims although the 65-page indictment
- 01:20:56against the couple is looking scary the
- 01:20:58two pleaded not guilty with their
- 01:20:59attorney describing the charges as
- 01:21:01perplexing bonds have been set at 1.5
- 01:21:04million for Sun and who was set at
- 01:21:05500,000 with instructions for the two
- 01:21:08not to travel Beyond New York City Long
- 01:21:09Island Maine and New Hampshire in
- 01:21:11response to the allegations attorneys
- 01:21:13for son Jared Schaefer and Ken Abel
- 01:21:15released a statement we are disappointed
- 01:21:16by the filing of these charges which are
- 01:21:18inflammatory and appear to be the
- 01:21:20product of an overly aggressive
- 01:21:21prosecution we are also troubled by
- 01:21:23aspects of the government's in
- 01:21:24investigation as we said today in court
- 01:21:26our Claren is eager to exercise her
- 01:21:28right to a speedy trial and to defend
- 01:21:29against these accusations in the proper
- 01:21:31Forum a court of law okay so first we
- 01:21:33are going to take a deeper look at the
- 01:21:35case against Linda Sun as we explore the
- 01:21:37accusations that Sun's attorneys have
- 01:21:38called perplexing son is accused of
- 01:21:40violating the foreign agents
- 01:21:42registration act by failing to register
- 01:21:43as a foreign agent with the attorney
- 01:21:45general one of Sun's biggest missions
- 01:21:47was to block relations between New York
- 01:21:48and Taiwan son would do this by blocking
- 01:21:50Taiwanese representatives from having
- 01:21:52meetings with the governor while shaping
- 01:21:53the governor's narrative on China an
- 01:21:55example of such an incident is in 2019
- 01:21:58when she was informed during a banquet
- 01:21:59invitation that the Taiwanese president
- 01:22:01was supposed to visit New York City she
- 01:22:03quickly alerted one of beijing's
- 01:22:04officials saying I sent you an email
- 01:22:06just in FYI I already blocked it in a
- 01:22:09bid to control and push the Chinese
- 01:22:10agenda Sun allegedly obtained
- 01:22:12unauthorized official New York state
- 01:22:13proclamations for Chinese government
- 01:22:15representatives and arranged meetings
- 01:22:17between CCP government delegations and
- 01:22:19New York officials in addition to all
- 01:22:21this prosecutors also said that sun and
- 01:22:22who operated more than 80 different
- 01:22:24messaging accounts including a WeChat
- 01:22:26message in which son is quoted telling a
- 01:22:28Chinese official I've done many things
- 01:22:29to make the relationship flourish on top
- 01:22:32of all of her political Antics son and
- 01:22:34her husband who are also facing money
- 01:22:35laundering charges prosecutors allege
- 01:22:37that proceeds from their scheme were
- 01:22:39used to purchase a 4.1 million property
- 01:22:41in Manhasset New York a $2.1 million
- 01:22:44condominium in Honolulu and a 2024
- 01:22:46Ferrari her husband has also supposedly
- 01:22:48laundered funds through bank accounts in
- 01:22:50a relative's name while illegally using
- 01:22:52a relative's driver's license image next
- 01:22:54on the list are charges of Visa fraud
- 01:22:56and alien smuggling with claims that she
- 01:22:58provided fake invitation Letters From
- 01:22:59New York state officers offices to allow
- 01:23:01Chinese government officials to enter
- 01:23:03the United States these letters work as
- 01:23:05immigration documents and assisted
- 01:23:07foreign citizens in entering the country
- 01:23:09unlawfully as if all of this was not
- 01:23:11enough the indictment also contains
- 01:23:12incriminating evidence of son's alleged
- 01:23:14Communications with Chinese officials in
- 01:23:16one incident she secretly included a
- 01:23:18Chinese official in a New York state
- 01:23:20government conference call about the
- 01:23:21covid-19 response in efforts to combat
- 01:23:23hate crimes against Asian Americans with
- 01:23:25a wrap sheet that long let's take a look
- 01:23:27at what someone was getting for all of
- 01:23:28her hard work before we jump into that
- 01:23:30I'm sure you guys can tell today's
- 01:23:31geopolitical world moves very fast and
- 01:23:33it's pretty much impossible to keep up
- 01:23:35with all the news that's why we launched
- 01:23:37Global Recaps a geopolitical newsletter
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- 01:23:51description or scanning the QR code on
- 01:23:53screen let's let get back to all that
- 01:23:55some was getting for her hard work for
- 01:23:56the CCP she was not doing all these
- 01:23:58things for free and the indictment has
- 01:24:00evidence that she received financial and
- 01:24:02economic benefits from China son
- 01:24:04allegedly received travel benefits
- 01:24:06promotion for her friends businesses and
- 01:24:07employment for her cousin in China to
- 01:24:09sweeten the deal a little more she
- 01:24:11received exclusive tickets to popular
- 01:24:12events including a performance of the
- 01:24:14guango ballet at Lincoln Center and the
- 01:24:16Chinese National traditional Orchestra
- 01:24:18at carnegi Hall the deals also benefited
- 01:24:20her husband who who received millions of
- 01:24:22dollars to facilitate his business in
- 01:24:23China on top of all of these favors Sun
- 01:24:26also received non Jing style salted
- 01:24:28Ducks prepared by a high-ranking Chinese
- 01:24:30government officials personal chef who
- 01:24:31delivered them to her parents home this
- 01:24:33may seem unimportant and strange to note
- 01:24:35if you do not have the Chinese context
- 01:24:37the popular dish is a traditional meal
- 01:24:38from the region of naning with unique
- 01:24:40flavor and a special preservation method
- 01:24:42it is a delicacy and its recipe dates
- 01:24:44back to the 14th century besides how
- 01:24:46expensive it must have been to make
- 01:24:48receiving this as a part of the favors
- 01:24:49shows how closely tied sun was with the
- 01:24:51Chinese government official evidence
- 01:24:53shows that the first delivery of six
- 01:24:54Ducks was made on or about July 28th
- 01:24:562021 and six more were delivered on
- 01:24:59November 23rd 2021 all in all son and
- 01:25:01her husband became Rich from the work
- 01:25:03they did on behalf of the Chinese
- 01:25:04government United States Attorney Bron P
- 01:25:06stated that the illicit scheme enriched
- 01:25:08the defendant's family to the tune of
- 01:25:10millions of dollars now some of you
- 01:25:12probably want to know more about who
- 01:25:13this Troublemaker is so we're going to
- 01:25:15get into Sun's background and her
- 01:25:17journey to New York politics Linda sun
- 01:25:19was born in 1983 and her family moved
- 01:25:21from China to the United States when she
- 01:25:23was five she later became a naturalized
- 01:25:25US citizen and received an undergraduate
- 01:25:27degree in political science from Barnard
- 01:25:29College after graduating with her
- 01:25:30master's degree in education from
- 01:25:32Columbia University Sun worked in the
- 01:25:34New York State's legislative branch
- 01:25:35holding a variety of positions including
- 01:25:37Chief of Staff in these early roles Sun
- 01:25:40focused on providing essential services
- 01:25:41to Immigrant constituents right from the
- 01:25:43onset it was clear that she had a heart
- 01:25:45for people like herself who were not
- 01:25:46indigenously from America Linda son's
- 01:25:4813-year work tenure in New York began
- 01:25:50with her serving under Governor Andrew
- 01:25:52Cuomo in 2012 she began as a director of
- 01:25:54Asian-American Affairs and queen's
- 01:25:56representative and held other positions
- 01:25:58throughout the decade among her roles
- 01:25:59were big positions such as serving as a
- 01:26:01director of external Affairs for Empire
- 01:26:03State development and chief diversity
- 01:26:04officer her final role before her
- 01:26:06downfall was her position as Deputy
- 01:26:08Chief of Staff under Governor Kathy
- 01:26:09hokel in October 2021 throughout her
- 01:26:12moves from different departments and
- 01:26:13administrations what remained consistent
- 01:26:15about Sun's career was her interest in
- 01:26:17Asian-American Affairs during Co Sun
- 01:26:19facilitated testing and vaccine delivery
- 01:26:21to asian-americans and during her time
- 01:26:23working with govern Governor hokel Sun
- 01:26:25pushed for a $10 million investment in
- 01:26:27mental health services in educational
- 01:26:28training aimed at reducing hate against
- 01:26:30asian-americans on the surface it seemed
- 01:26:32like sun was just a Chinese American
- 01:26:34advocating for her people her run was
- 01:26:36impressive and at some point she was the
- 01:26:38first Asian-American to have such a high
- 01:26:40position in the New York government over
- 01:26:42time the cracks began to show and her
- 01:26:43facade began to fall off slowly now
- 01:26:46we're going to go through key moments in
- 01:26:48her career highlighting where she began
- 01:26:49to lose the plot the first incident was
- 01:26:51in 2016 when sudden message to Chinese
- 01:26:53official to inform them the taipe
- 01:26:55economic and cultural representative
- 01:26:57office had invited Governor hokel to
- 01:26:59appear at an investment Summit in
- 01:27:00Washington the message read they sent
- 01:27:02the invitation to another colleague
- 01:27:04trying to bypass me I'm working on it
- 01:27:06right now to resolve the issue it's all
- 01:27:07been taken care of satisfactorily this
- 01:27:09message shows that early on colleagues
- 01:27:11in her Department were beginning to
- 01:27:12suspect her in 2018 letters that sun was
- 01:27:15not authorized to sign were found to
- 01:27:17have forged versions of hcal signature
- 01:27:19these letters allowed a Chinese
- 01:27:20delegation from Hanan Province to come
- 01:27:22to the US to discuss economic Co
- 01:27:24operation with hok things got worse in
- 01:27:262019 when very incriminating messages
- 01:27:28were found between Sun and a Chinese
- 01:27:30official Sun wrote I very much value my
- 01:27:32relationship with the consulate and have
- 01:27:34done many things to make the
- 01:27:35relationship between the state and the
- 01:27:36consulate flourish during my tenure with
- 01:27:38politician 1 certainly I've managed to
- 01:27:40stop all relationships between the Teo
- 01:27:42and the state I have denied all requests
- 01:27:44from their office the Chinese official
- 01:27:46responded by thanking Sun for her help
- 01:27:48and referred to her as the most
- 01:27:50important Hub connecting us with
- 01:27:51politician 1 and his team around 2021
- 01:27:54sun and who started getting sloppy and
- 01:27:56their spending started raising alarm
- 01:27:58Bells they began to purchase real estate
- 01:28:00valued at millions of dollars in
- 01:28:01Manhasset in New York what was more
- 01:28:03suspicious was that the couple did not
- 01:28:05take out a loan or mortgage for these
- 01:28:06Hefty purchases from the outside it was
- 01:28:08clear that the couple's spending did not
- 01:28:10match their salaries and shortly before
- 01:28:12they started splurging who received a
- 01:28:13$2.1 million wire transfer from a PRC
- 01:28:16based account in his business partner's
- 01:28:18name what caught the couple out is that
- 01:28:19sun put the real estate purchases on her
- 01:28:21financial disclosure statements up until
- 01:28:23this Point her actions had just made the
- 01:28:25authorities suspicious but what she did
- 01:28:27in 2023 is what launched an
- 01:28:28investigation son emailed an
- 01:28:30unauthorized Proclamation from the New
- 01:28:32York governor's office that was supposed
- 01:28:33to be presented at a lunar New Year
- 01:28:35celebration the indictment states that
- 01:28:37son obtained this Proclamation from an
- 01:28:39office of correspondant employee outside
- 01:28:41ordinary channels and did not follow
- 01:28:43protocol by seeking supervisory
- 01:28:44authorization to create such a
- 01:28:46proclamation when she was questioned by
- 01:28:47her actions by the inspector General's
- 01:28:49office son initially played the denying
- 01:28:51game after she realized she was in hot
- 01:28:53soup she had admitted requesting the
- 01:28:54Lunar New Year Proclamation for a
- 01:28:56Chinese government official up until
- 01:28:58this point she had been getting away
- 01:28:59with murder but sun was finally fired in
- 01:29:01March 2023 in a statement to ABC News AI
- 01:29:04small hok's press secretary stated we
- 01:29:06terminated her employment in March 2023
- 01:29:09after discovering evidence of misconduct
- 01:29:11immediately reported her actions to law
- 01:29:13enforcement and have assisted law
- 01:29:14enforcement throughout this process even
- 01:29:16after her post was terminated son still
- 01:29:18tried to manipulate her position in
- 01:29:20August 2023 the Department of Labor had
- 01:29:22to send her a cease and desist letter
- 01:29:24for attending public and professional
- 01:29:25events claiming she was an agency
- 01:29:27official after this the investigation
- 01:29:29intensified and in June 2024 Federal
- 01:29:31investigators raided a home belonging to
- 01:29:33son and her husband in response to the
- 01:29:35madness both of son's previous bosses
- 01:29:37hok and kuo have had something to say
- 01:29:40Governor Kathy hokel called son's
- 01:29:41actions a betrayal of trust and claimed
- 01:29:43that she was absolutely shocked by
- 01:29:45everything the indictment lays out very
- 01:29:48clearly evidence that these actions
- 01:29:50taken by Linda's son were an absolute
- 01:29:52betrayal of
- 01:29:54the trust of two administrations in
- 01:29:57state government while former Governor
- 01:29:59kuum did not directly comment rich as a
- 01:30:01party a spokesperson for kuo stated that
- 01:30:03while misson was promoted to Deputy
- 01:30:04Chief of Staff in the subsequent
- 01:30:06Administration during our time she
- 01:30:08worked in a handful of agencies and was
- 01:30:09one of many Community Liaisons who had
- 01:30:11little to no interaction with the
- 01:30:13governor finally we need to think about
- 01:30:15what this entire thing means for
- 01:30:16relations between China and the US this
- 01:30:18news coming out so close to the US
- 01:30:20elections has caused many concerns
- 01:30:22regarding how far China influences is
- 01:30:24the American electoral process the case
- 01:30:26allows us to see that the dragon in the
- 01:30:27East has a big part to play in US
- 01:30:29politics and its methods are not always
- 01:30:31direct and aggressive knowing China has
- 01:30:33many tricks up its sleeve is disturbing
- 01:30:35but knowing that these schemes are
- 01:30:36specifically trying to infiltrate us
- 01:30:38intelligence is scarier the center for
- 01:30:40strategic and International Studies csis
- 01:30:43has documented 224 instances of Chinese
- 01:30:45Espionage directed at the US from 200000
- 01:30:48to March 2023 let us go back to 2018
- 01:30:51when it was discovered that China's hand
- 01:30:52was in the CIA Jerry Chun Shing Lee a
- 01:30:55former CIA officer was caught retaining
- 01:30:57classified information that led to the
- 01:30:59dismantling of the cia's network of
- 01:31:01informance in China his work as a spy
- 01:31:03began in 2010 when Chinese intelligence
- 01:31:05agents contacted him offering him money
- 01:31:07in exchange for secret information he
- 01:31:09was sentenced to 19 years in prison but
- 01:31:11the damage had already been done China's
- 01:31:13undercover work does not end there in
- 01:31:15reports of Chinese Nationals opening
- 01:31:17secret overseas police stations have
- 01:31:18emerged in 2023 two men were arrested
- 01:31:21for acting under the direction and
- 01:31:22control of the Chinese government
- 01:31:23government by setting up an
- 01:31:24international police station Harry Lu
- 01:31:26xan Wang and Chen jingping set up a
- 01:31:28front office that performed services
- 01:31:30such as helping Chinese citizens renew
- 01:31:32their Chinese driver's license under the
- 01:31:34radar the Manhattan Chinatown station
- 01:31:35was used to intimidate and harass
- 01:31:37fugitives and those critical of the
- 01:31:39Chinese government what is even more
- 01:31:40worrying is the fact that offices like
- 01:31:42this have sprouted up all over North
- 01:31:44America and Europe with reports that CCP
- 01:31:46uses the offices to monitor critics of
- 01:31:48the PRC as expected China is denying
- 01:31:51everything it maintains that these
- 01:31:52International police stations are are
- 01:31:54there to provide Chinese citizens with
- 01:31:55Services cases like Linda Suns Jerry
- 01:31:58chuning Le and Harry Luan Wang's are
- 01:32:01proof of the existence of a larger
- 01:32:02Chinese spy Network that is running in
- 01:32:04countries all around the world very
- 01:32:06recently a Chinese spy by the name of
- 01:32:07Alice gu has finally been arrested in
- 01:32:10Indonesia she was on the run for weeks
- 01:32:11after being accused of spying for China
- 01:32:13during her term as a Filipino mayor
- 01:32:15reports like these should wake the world
- 01:32:17up and get every country looking into
- 01:32:18whether there is Chinese Espionage
- 01:32:20happening in their backyard a reality
- 01:32:22that China has to accept is that
- 01:32:23diplomatic tension that comes as a
- 01:32:25result of Sun's actions is going to undo
- 01:32:27some of the work that has been going
- 01:32:28into building trust with the us all
- 01:32:30Chinese officials are going to be
- 01:32:31treated with some disdain and diplomatic
- 01:32:33Protocols are probably going to be
- 01:32:35redone and there's definitely going to
- 01:32:37be stricter enforcement of foreign agent
- 01:32:38registration laws moving forward what is
- 01:32:41diplomacy going to look like in America
- 01:32:43while countries want to work well
- 01:32:44together incidents like this give open
- 01:32:46diplomatic channels a Bad Name all that
- 01:32:48we can hope is that America has learned
- 01:32:50a valuable lesson from this Scandal
- 01:32:51tighter security measures will
- 01:32:53definitely be implemented and the
- 01:32:54vetting process will be more thorough as
- 01:32:56we speak Washington is unraveling all
- 01:32:58that it knows in trying to untangle
- 01:33:00China's web of deception
- Ban movement
- Chinese youth
- economic impact
- youth unemployment
- 996 culture
- one-child policy
- educational reforms
- property prices
- lying flat
- CCP policies