
The biggest loser from the ongoing tensions surrounding the sinking of a South Korean vessel may not be Seoul, or Pyongyang, but Beijing.
By refusing to condemn North Korea for its deliberate attack and sinking of a South Korean Navy corvette in March, China has lost hard-won credibility and reminded countries throughout Asia of the importance of the United States and its dominant presence in the Western Pacific.
The recovery of the vessel, the Cheonan, and dredging the seabed revealed a smoking gun -- the remains of a North Korean torpedo. A South Korean report drawing upon the participation of experts from Australia, Britain, Sweden, and the United States and released in late May laid the blame squarely at the feet of North Korea, thus prompting the real aftershocks of the incident.
In response to the report, Beijing chose not to take a clear stand and simply acknowledged the report, as well as North Korea's shrieks of denial. Rather than condemn North Korea's violent act, Beijing ignored the findings of the international investigators after reportedly having been invited to join the team but declining. In early May, before the report's release, both South Korean President Lee Myung-bak and North Korean leader Kim Jong Il had summits in China with President Hu Jintao to plead their respective cases, but neither came away satisfied.
China's decision to protect North Korea reflects not only a careful policy calculation based on parochial self-interest, but also Beijing's desire to maintain the regional security balance that, as the country's leaders see it, is dependent on a strong China-North Korea relationship. Failure to support North Korea could lead to its collapse -- which could bring far worse consequences for China than most outside observers realize.
China fears the potential for chaos in North Korea for a number of reasons. For starters, the prospect of starving refugees and the remnants of the Korean People's Army so close to its own border is an obvious concern. The 1,400 kilometers of river that separate the two countries is narrow and shallow in many places, presenting an insignificant barrier to refugees and bandits seeking to cross. It is no coincidence that of all China's 14 borders with neighboring states, the country's People's Liberation Army is the lead authority only for those frontiers that border North Korea and Myanmar.
Meanwhile, integration of North Korea's economy and China's northeastern provinces, particularly the provinces of Liaoning and Jilin, ensure that northeast China will pay a significant price should North Korea implode. Economic stability in these "rust belt" provinces, part of the struggling industrial region known informally in the West as Manchuria, is a key concern for Beijing. Having banked on trade with North Korea as a central part of their development plan (about half of the Chinese investors in North Korean joint ventures come from just these two provinces), these northern provinces might suffer significant economic impacts from further instability in North Korea. Not only is all politics local, but sometimes foreign policy is local too.
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