Beyond Russia… why Labour must face the threat of authoritarian China

Events in Ukraine remind us that authoritarian regimes are on the march. But it’s not just Russia threatening to crush liberal democracy. Over the last two years, it has become increasingly clear that China’s growth into a global superpower, alongside its slide towards authoritarianism under Xi Jinping and its belligerent attitude towards the West, is a growing issue of concern for UK voters. Distrust of China as a diplomatic partner has reached an all-time high with a recent poll finding that 78% of UK voters distrust China to act responsibly, and this includes 70% of Labour voters. Our party’s priorities must reflect these trends.

As tensions continue to rise between the Chinese Communist Party and Western leaders, it has led some to speculate of the potential for a new conflict or “Cold War”. Of course, some sceptics still question whether Labour should talk much about China – because they feel the threat is overplayed and that China is simply taking its rightful place in the world, because they see this as an inevitability to be beyond Britain’s control, or because they think voters only care about domestic issues. I fear they are mistaken on every level.

Let’s first take a look at the Chinese government’s motivations. Until recently, the rise of China was broadly told in the UK as a positive story, which would bring with it untold amounts of investment and jobs for the UK. Those who championed the ‘golden era’ within the Conservative and Labour Party depicted a narrative of the Chinese Communist Party (CCP) continuing to open up China’s economy and society, and of a government that would bolster the international-rules based system and work with the West to tackle the pressing issues of the day, including climate change. Sadly, that story has been shattered by the ascendency of Xi Jinping. 

The reality is that China under the CCP has no intention of upholding the international-rules based system or seeking to democratise. Instead, China under Xi has become a totalitarian state which incarcerates and enslaves Uyghur Muslims, uses artificial intelligence and facial recognition software to censor its people and silence dissent, has launched trade wars against Lithuania and Australia, has dismantled Hong Kong’s autonomy and jailed pro-democracy activists and journalists, militarised the South China Sea, withheld critical information about a local epidemic leading to a global pandemic, and is threatening Taiwan with military invasion.

Even when it comes to climate change, despite China being predicted to be one of the worst affected, the Chinese state plans to build 43 new coal power plants and expand its fishing fleet. China’s acceptance into the World Trade Organisation has come at a cost for many Western workers. In the UK’s case, for every manufacturing job created as a result of investment, almost six have been lost to China and other low-wage economies.

The global pandemic has highlighted Britain’s dependency on China for key supply chains. As research into former Labour voters by Stephen Kinnock-led group Renaissance sets out, the public are starting to notice. They want a more resilient Britain that can stand more firmly on its own two feet. This is where international politics meet domestic policy. We’ve seen the risks presented when these supply chains are cut off or compromised. The scenes of empty shelves of paracetamol, shortages of Covid-19 lateral flow test kits, and a lack of face masks for NHS staff were all signs reflective of an economy over-reliant on Chinese manufacturing.

From nuclear power to Thames Water, Chinese investment previously poured into strategic sectors of the UK economy with little to any oversight from UK ministers. An assessment by The Sunday Times found last year that China had invested in £134bn worth of UK assets, including Chinese companies quietly buying up the UK’s semi-conductor manufacturing capacity. In many cases, the promise of substantial investment and jobs that would come into the UK as a result of the ‘golden era’ of relations has not materialised.

Post-Brexit, UK universities are financially reliant on the growing number of Chinese students who come to study on full international tuition fees and many are increasing the number of research partnerships they have with Chinese universities, irrespective of the national security concerns that some of these arrangements have raised. The banning of Huawei from the UK’s 5G telecommunications network, and the recent revelations regarding possible CCP infiltration in parliament through the use of paid actors, has starkly highlighted the security risks a close relationship with the Chinese state presents.

Despite the strong rhetoric from the government on China’s ongoing human rights violations, record amounts of UK pensions are being invested in Chinese stocks and Chinese government bonds, undermining the opportunity for a coherent China policy. Legal and General, the largest UK pension fund manager, has 35% of its emerging markets fund invested in China alone. Sadly, UK pensions are being invested in China with little regard to the ethical or economic risks, something the recent technology crackdown on Alibaba and Tencent has shown.

China’s destruction of Hong Kong’s autonomy and its flagrant breaches of the Sino-British Joint Declaration has led to the UK government meeting its obligations under the Sino-British Declaration by offering a British National (Overseas) visa scheme, which will allow close to five million Hong Kongers and their dependents to work and live in the UK.

Whether it is jobs, investment, public health, education, climate change, the UK’s historic obligation to Hong Kong or national security, the policies of the Chinese government have an increasing impact on the lives of Labour voters, and potential Labour voters, all over the UK. David Lammy’s recent piece for The Observer really seemed to grasp this nettle. If Labour can build on his analysis by reflecting the threats posed by Beijing when forming policy in each and every department, we will truly show ourselves as a serious party ready for government.