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China’s Western Development Campaign (CRS Report for Congress)

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Release Date Sept. 12, 2001
Report Number RL31104
Report Type Report
Authors Dewardric L. McNeal, Foreign Affairs, Defense, and Trade Division
Source Agency Congressional Research Service
Summary:

The Peoples Republic of China (PRC) began its economic reform and self-styled "opening up" process more than two decades ago with the hopes of developing the country's backward economy, raising living standards, incomes, and the quality of life of its citizens. Deng Xiaoping, architect of China's economic reforms, stated that during the reform process some Chinese may get rich faster than others, but he believed that the rest of China would benefit from this process. Today, there are many signs that wealth has come to China and its people. The bustling metropolises of Shanghai, Shenzhen, and Beijing are signs that some Chinese did get rich. However, the economic prosperity generated by economic reforms created large geographic imbalances. As foreign direct investment poured into the port cities and Special Economic Development Zones in the east and on the southern coast, western China was largely ignored. Western China, home to a majority of China's ethnic minorities, has remained relatively impoverished, left with inadequate infrastructure, underdeveloped schools and health care, and high rates of unemployment. Chinese leaders, fearing a backlash from ethnic minorities in Xinjiang and Tibet, began a program to develop the western region. The program, known as the "Go West" campaign has the highest levels of support from the Chinese Communist Party. The "Go West" campaign attempts to redirect large amounts of central government spending, foreign direct investment, and international economic development funding to the western regions. Its goals are to develop the backward economy and infrastructure, and raise the standards of living in the west. However, many critics doubt the government's sincerity. They suggest that the campaign is an excuse for China to exploit the vast natural resources of the western region, while imposing strict security measures that will counter any attempt by ethnic separatists to break away from the PRC. They express their concerns that building physical infrastructure will attract large numbers of ethnic Chinese and weaken many of the unique ethnic minority cultures in the west. Critics also fear that development could destroy the ecosystem of the western region. Congress has broad interests in human rights issues in China's far western region. For example, Congress is concerned about China's treatment of ethnic minorities in the western region, crackdowns on religious freedoms, and involuntary resettlement. In addition to human rights concerns, Congress is also interested in market access and fair competition for U.S. businesses seeking opportunities in the western region. The "Go West" campaign also has received support from a number of foreign corporations and foreign governments attracted by the region's economic potential, especially in the areas of energy, petro-chemicals, transportation, and telecommunications.