China: We hate you, but we hate everyone else more

posted at 10:15 am on February 14, 2009 by Ed Morrissey

In the current financial crisis, many people wonder how much longer China will buy American debt, or whether they will start dumping it and create an even deeper crisis for Washington.  China apparently answered that question earlier this week in its assessment of its options — which is to say, none.  Like Richard Gere in An Officer and a Gentleman, they’ve got nowhere else to go:

China will continue to buy US Treasury bonds even though it knows the dollar will depreciate because such investments remain its “only option” in a perilous world, a senior Chinese banking regulator said on Wednesday.

China has used the dollars it accumulates selling manufactured goods to US consumers to accumulate the world’s largest holding of Treasuries. …

Mr Luo, speaking at the Global Association of Risk Management’s 10th Annual Risk Management Convention, said: “Except for US Treasuries, what can you hold?” he asked. “Gold? You don’t hold Japanese government bonds or UK bonds. US Treasuries are the safe haven. For everyone, including China, it is the only option.”

Hey, in a world filled with anti-Americanism, that’s refreshing.  At least someone loves us.  Or … maybe not:

Mr Luo, whose English tends toward the colloquial, added: “We hate you guys. Once you start issuing $1 trillion-$2 trillion [$1,000bn-$2,000bn] . . .we know the dollar is going to depreciate, so we hate you guys but there is nothing much we can do.”

The colloquial, huh?  Happy Valentine’s Day to you too, Luo.

China still could dump US debt, but they’d lose their shirts, and nothing else in the market looks better.  Beijing has become a little too capitalist to pull a cut-off-the-nose-to-spite-the-face ploy with its main assets.  They need the stability to stay in power.  Right now, that means they need to ensure that US debt doesn’t tank.

Feel any better?  It’s like having your spouse tell you that she can’t stand you, but she’s sticking around for her half of the retirement accounts, which would get destroyed in a divorce.  You feel marginally better, but you sleep with one eye open, just in case she turns into Lorena Bobbitt.


Related Posts:

Breaking on Hot Air

Blowback

Trackbacks/Pings

Trackback URL

Comments

My take is a little different. I think he may have been trying to cross the culture gap and express himself in an informal way as Chinese understand American culture to be. Perhaps just trying too hard.

DarkCurrent on February 14, 2009 at 1:53 PM

I defer to you out of respect for you knowledge, however, it would seem odd coming from the CCP to make such an error, if it was an error. Perhaps they wanted to make people think about it. That said, I’m sure they do hate some of the things happening here.

genso on February 14, 2009 at 1:57 PM

What amazed me was that someone would buy a live chicken in Shenzhen.

genso on February 14, 2009 at 1:46 PM

I saw a guy selling live chickens on the sidewalk near my office in the Xujiahui district of Shanghai just last week. He was holding one up and waving it around to get attention. I’d guess it’s not legal, or I’d see it more. You sometimes see that on the back streets, but this was on the sidewalk of a major arterial in a major business district. I hadn’t seen that before. That’s what’s fun about living in China – something new everyday.

DarkCurrent on February 14, 2009 at 2:00 PM

DarkCurrent on February 14, 2009 at 2:00 PM

In Flushing, Queens, on College Point Blvd. is where we buy our live chickens.

JiangxiDad on February 14, 2009 at 2:02 PM

In Flushing, Queens, on College Point Blvd. is where we buy our live chickens.

JiangxiDad on February 14, 2009 at 2:02 PM

I can understand a girl from the country of China and now living in the city not having a problem with this, but come on, Jiangxi, what the hell do you do with the mess from plucking and cleaning a chicken?

genso on February 14, 2009 at 2:05 PM

Btw, the picture titled “daytime view of Xujiahui” was shot from directly below my office window. Looking across the street, I can see my former office window in the Metro Tower (pink building with glass sphere in the foreground). My current office window is visible in the photo titled “Grand Gateway at Xujiahui Circle”.

DarkCurrent on February 14, 2009 at 2:06 PM

DarkCurrent on February 14, 2009 at 2:06 PM

Swanky.

genso on February 14, 2009 at 2:10 PM

genso on February 14, 2009 at 2:10 PM

There’s a decent Japanese restautrant across the street in “Metro City” for you my friend ;-)

DarkCurrent on February 14, 2009 at 2:17 PM

I can understand a girl from the country of China and now living in the city not having a problem with this, but come on, Jiangxi, what the hell do you do with the mess from plucking and cleaning a chicken?

genso on February 14, 2009 at 2:05 PM

You just pay extra, and they do it for you. Magic!

btw, as a kid growing up in the NYC suburbs, for Thanksgiving we went to a place where you went behind the store and picked the live Turkey you wanted.
My grandma would come visit us on the train from Brooklyn. Inside her suitcase was a chicken, with some feathers remaining. She didn’t think she could get a decent chicken in the “country.” Ever eat chicken feet?

JiangxiDad on February 14, 2009 at 2:32 PM

JiangxiDad on February 14, 2009 at 2:32 PM

Funny story. I tried them in China. I’m like DarkCurrent, what do they do with the stuff we eat. Duck heads, fish heads, chicken feet… And, gotcha….magic.

genso on February 14, 2009 at 2:40 PM

I can understand a girl from the country of China and now living in the city not having a problem with this, but come on, Jiangxi, what the hell do you do with the mess from plucking and cleaning a chicken?

genso on February 14, 2009 at 2:05 PM

You throw it out in the street, what else?

DarkCurrent on February 14, 2009 at 2:44 PM

Ever eat chicken feet?

JiangxiDad on February 14, 2009 at 2:32 PM

I have when too drunk and it was served in a pub. Don’t tell me Americans eat them in America too?

DarkCurrent on February 14, 2009 at 2:45 PM

So have I got this straight? The US has amassed a great deal of product (material assets i.e., ~wealth~) from China, and in return, China has accumulated a mountain of what will be worthless currency? I guess you’d want to pay off any debt pretty quickly. You know, just continue to allow the incompetent f*cks millions of American bubbleheads vote into government to legislate the creation of a trillion here, a trillion there, and then ship it all off to China. The debt on your big, beautiful 52″ Samsung TV is now paid off!

FierceGuppy on February 14, 2009 at 2:55 PM

You throw it out in the street, what else?

Sounds like America when it was in it’s expanding days.

I have when too drunk and it was served in a pub. Don’t tell me Americans eat them in America too?

DarkCurrent on February 14, 2009 at 2:45 PM

Had them two weeks ago for New Year’s dim sum in NY.

JiangxiDad on February 14, 2009 at 3:32 PM

Had them two weeks ago for New Year’s dim sum in NY.

JiangxiDad on February 14, 2009 at 3:32 PM

You were drunk and had a lot of cute Chinese girls encouraging you to do it though, right?

DarkCurrent on February 14, 2009 at 3:42 PM

You were drunk and had a lot of cute Chinese girls encouraging you to do it though, right?

DarkCurrent on February 14, 2009 at 3:42 PM

Just to gross out my daughters who think they’re disgusting. :)

JiangxiDad on February 14, 2009 at 3:49 PM

I used to live in China (in Wuhan). I ate ducks feet once (supposedly it’s a delicacy there and I couldn’t insult them by not eating it). It tasted like pencil erasers. :/

Theophile on February 14, 2009 at 3:50 PM

“Feel any better? It’s like having your spouse tell you that she can’t stand you, but she’s sticking around for her half of the retirement accounts, which would get destroyed in a divorce. You feel marginally better, but you sleep with one eye open, just in case she turns into Lorena Bobbitt.”

I couldn’t have found a better analogy anywhere.

Spiritk9 on February 14, 2009 at 4:03 PM

Just to gross out my daughters who think they’re disgusting. :)

JiangxiDad on February 14, 2009 at 3:49 PM

My kids won’t touch them either. My daughter continues to suffer from severe ichthyophobia as a result of finding a bag of fish heads Mom put in our refrigerator back when we still lived in the US. She can’t even look at a little goldfish without being freaked out anymore. She’s the world’s greatest half-Chinese sinophobe as far as I know.

DarkCurrent on February 14, 2009 at 4:03 PM

It tasted like pencil erasers.

LMAO

JiangxiDad on February 14, 2009 at 4:04 PM

She’s the world’s greatest half-Chinese sinophobe as far as I know.

DarkCurrent on February 14, 2009 at 4:03 PM

Are your kids currently in school in China? An “international” school? Sometimes my wife and I entertain the notion of spending a few years there with my kids before they’re gone. I have several friends from Shanghai among my neighbors, and have some contacts through them there.

JiangxiDad on February 14, 2009 at 4:07 PM

I used to live in China (in Wuhan). I ate ducks feet once (supposedly it’s a delicacy there and I couldn’t insult them by not eating it). It tasted like pencil erasers. :/

Theophile on February 14, 2009 at 3:50 PM

I’d describe it more like very worn out bicycle tire rubber. After a while you learn how to decline without being too insulting. It’s a survival skill ;-)

DarkCurrent on February 14, 2009 at 4:08 PM

e

DarkCurrent on February 14, 2009 at 4:50 PM

Are your kids currently in school in China? An “international” school? Sometimes my wife and I entertain the notion of spending a few years there with my kids before they’re gone.

JiangxiDad on February 14, 2009 at 4:07 PM

Are your kids currently in school in China? An “international” school? Sometimes my wife and I entertain the notion of spending a few years there with my kids before they’re gone.

JiangxiDad on February 14, 2009 at 4:07 PM

My son (12) is here and attends a bilingual school with US-based curriculum. My daughter (16) was here and attended Shanghai High School but is currently an exchange student in Germany.

DarkCurrent on February 14, 2009 at 4:53 PM

DarkCurrent on February 14, 2009 at 4:53 PM

Thanks very much for that info. My kids are in middle-school, but I’d very much like to do this for them if I can swing it. I worry because their Chinese really sucks (even worse than mine does) so I thought school and later college would be a problem. The Shanghai HS sounds unbelievable. I’m sure it’s very hard to get into.

Good luck to the kid in Deutschland. Sehr interessant. Ich habe Deutsch als Kind für zehn Jahren studiert.

JiangxiDad on February 14, 2009 at 5:14 PM

DarkCurrent on February 14, 2009 at 4:53 PM

Sorry, forgot to say I hope your entire family is having a wonderful experience. I hope you all look back on it as some of the most memorable times of your lives.

I lived for awhile in France, so know the expat thing.

JiangxiDad on February 14, 2009 at 5:20 PM

The Shanghai HS sounds unbelievable. I’m sure it’s very hard to get into.

Good luck to the kid in Deutschland. Sehr interessant. Ich habe Deutsch als Kind für zehn Jahren studiert.

JiangxiDad on February 14, 2009 at 5:14 PM

I was trying to post links to both schools in my comment above. Somehow it kept getting rejected, leading to the “e” post above. My son goes to SMIC School, which has both English and Chinese tracks. Kids on the English track study Chinese, but as a second language. Shanghai High School is well known in Shanghai, but not as difficult for non-Chinese passport holders to get into as they make it out to be.

DarkCurrent on February 14, 2009 at 5:30 PM

DarkCurrent on February 14, 2009 at 5:30 PM

Oh man. With the price of apt’s in Shanghai, I really don’t think I can pay that kind of money for tuition. Wow! Maybe I better try Taiwan.But thank you again for that info. It was an eye-opener.

JiangxiDad on February 14, 2009 at 5:49 PM

China will continue to buy US Treasury bonds even though it knows the dollar will depreciate because such investments remain its “only option” in a perilous world, a senior Chinese banking regulator said

The blood-Red Chinese are as believable as any leading Democrat. Comforting, ain’t it?

jgapinoy on February 14, 2009 at 7:42 PM

Ever eat chicken feet?

JiangxiDad on February 14, 2009 at 2:32 PM

In the Philippines, they’re called “adidas”.
: P

jgapinoy on February 14, 2009 at 7:43 PM

This isn’t very surprising. Unlike American leaders, Chinese leaders are held to a high standard of education and experience, and they read the newspaper. I could have told you at the time of the election, even ordinary people in China were saying that Obama was very exciting but McCain was probably better for China.

joe_doufu on February 14, 2009 at 9:39 PM