By All Means Necessary (38 page)

47
. Simone Collins, “Recent Decisions Under the Investment Canada Act: Is Canada Changing Its Stance on Foreign Direct Investment?”
Northwestern Journal of International Law & Business
32, no. 1 (Fall 2011).

48
. Nathan VanderKlippe, “Canadarm Heads South as MDA Sells Units for $1.3 Billion, ”
Star Phoenix
, January 9, 2008,
http://www2.canada.com/saskatoonstarphoenix/technology/story.html?id=678e3848-b81a-4562-bafd-1bdd504d59f9&k=10661
.

49
. Collins, “Recent Decisions, ” 154.

50
. Ibid.

51
. “BHP Billiton Launches Hostile Bid for Potash, ”
BBC News
, August 18, 2010,
http://www.bbc.co.uk/news/business-11009145
.

52
. Joseph Chaney et al., “Sinochem Won't Bid for Potash Corp, Sources Say, ”
Reuters
, October 15, 2010,
http://www.reuters.com/article/2010/10/15/us-potash-sinochem-idUSTRE69E0NL20101015
.

53
. U.S. Geological Survey, “2012 Potash Statistics, ” last modified November 1, 2012,
http://minerals.usgs.gov/ds/2005/140/ds140-potas.pdf
.

54
. PotashCorp,
The Next Stage of Growth: 2010 Summary Accountability Report,
accessed September 5, 2013,
http://www.potashcorp.com/annual_reports/2010/
.

55
. PotashCorp, “Understanding the Potash Business, ” 2010 Online Annual Report, accessed September 5, 2013,
http://www.potashcorp.com/annual_reports/2010/md_and_a/potash/understanding/
.

56
. Michael Grant, Michael Burt, and Lin Ai,
Saskatchewan in the Spotlight: Acquisition of Potash Corporation of Saskatchewan Inc.—Risks and Opportunities
(Ottawa, Ontario: Conference Board, 2010).

57
. Collins, “Recent Decisions.”

58
. Paul Vieira, “Canada Opposition Party Says Govt Must Reject CNOOC/Nexen Deal, ” Rigzone, October 4, 2012,
http://www.rigzone.com/news/oil_gas/a/121146/Canada_Opposition_Party_Says_Govt_Must_Reject_CNOOCNexen_Deal
.

59
. Terence Corcoran, “Fascism by Another Name, ”
Financial Post
, October 25, 2012,
http://opinion.financialpost.com/2012/10/25/terence-corcoran-fascism-by-another-name/
.

60
. Steven Chase, “Nexen Deal Called Dangerous Precedent, ”
Globe and Mail
, September 26, 2012,
http://www.theglobeandmail.com/news/national/nexen-deal-called-dangerous-precedent/article4568593/
.

61
. Justin Trudeau, “Why the CNOOC-Nexen Deal Is Good for Canada, ” Canada.com, November 19, 2012,
http://o.canada.com/2012/11/19/justin-trudeau-why-the-cnooc-nexen-deal-is-good-for-canada/
;
and Nathan Vanderklippe, Shawn McCarthy, and Jacquie McNish, “Harper Draws a Line in the Oil Sands, ”
Globe and Mail
, December 10, 2012,
http://www.cigionline.org/articles/2012/12/harper-draws-line-oil-sands
.

62
. Industry Canada, “Guidelines—Investment by State-Owned Enterprises—Net Benefit Assessment, ” last modified December 7, 2012,
http://www.ic.gc.ca/eic/site/ica-lic.nsf/eng/lk00064.html
.

63
. Asia Pacific Foundation of Canada,
2012 National Opinion Poll: Canadian Views on Asia
(Vancouver, BC, 2012).

64
. Ibid., 17.

65
. Ibid.

66
. Ibid.

67
. Ibid., 30. In 2006, 64 percent of those polled agreed that Canada “would benefit from more Asian investment to Canada, including the energy sector.” See Gregg, Kelly, Sullivan, & Woolstencroft, The Strategic Counsel,
A Report to The Asia Pacific Foundation of Canada and The Globe and Mail: Canadian Views on Asia,
August 28, 2006,
http://www.advisor.ca/news/industry-news/briefly-888-30687
.

68
. Asia Pacific Foundation of Canada,
2012 National Opinion Poll
, 15.

69
. Garth Stevenson, “Foreign Direct Investment and the Provinces: A Study of Elite Attitudes, ”
Canadian Journal of Political Science/Revue canadienne de science politique
7, no. 4 (1974): 630–631.

70
. “Statement by the Prime Minister of Canada on Foreign Investment, ” Canada News Centre, Government of Canada, December 7, 2012,
http://news.gc.ca/web/article-eng.do?nid=711679
.

71
. Author interviews with Canadian industry sources.

72
. OECD, StatExtracts, “FDI Flows by Industry, ” accessed September 6, 2013,
http://stats.oecd.org/Index.aspx?DatasetCode=FDI_FLOW_PARTNER
.

73
. OECD, StatExtracts, “FDI Flows by Partner Country, ” accessed September 6, 2013,
http://stats.oecd.org/Index.aspx?DatasetCode=FDI_FLOW_PARTNER
. Authors' calculations.

74
. The Rhodium Group, “China Investment Monitor: Tracking Chinese Direct Investment in the U.S., ”
http://rhg.com/interactive/china-investment-monitor
.

75
. Excluding a $1 billion investment in a Texas-based pipe-making plant in 2009, total Chinese investment in basic materials over the past decade is less than $400 million. Rhodium Group, “China Investment Monitor”; and Deloitte China Services Group, “Chinese Investment in the U.S.: Quarterly Digest, ”
http://www.deloitte.com/assets/Dcom-UnitedStates/Local%20Assets/Documents/us_csg_InboundDigestQ22009_033101.pdf
.

76
. Rhodium Group, “China Investment Monitor.”

77
. Ibid.

78
. Dick K. Nanto et al., “China and the CNOOC Bid for Unocal: Issues for Congress, ” Congressional Research Service, September 15, 2005, 11.

79
. Daniel H. Rosen and Thilo Hanemann, “An American Open Door? Maximizing the Benefits of Chinese Foreign Direct Investment, ” Asia Society, May 2011.

80
. Nanto et al., “China and the CNOOC Bid, ” 1.

81
. Brad Foss, “Unocal Says It Was Ready to Accept Higher CNOOC Offer, ”
Associated Press
, July 25, 2005; Ben White, “Unocal Reveals Portrait of Negotiations, ”
Washington Post
, July 26, 2005; and “China Withdraws Unocal Bid, ”
Associated Press
, August 3, 2005.

82
. Foss, “Unocal Says It Was Ready.”

83
. As quoted in Peter S. Goodman, “China Tells Congress to Back off Businesses, ”
Washington Post
, July 5, 2005.

84
. As quoted in Don Lee and Elizabeth Douglass, “Chinese Drop Takeover Bid for Unocal, ”
Los Angeles Times
, August 3, 2006.

85
. As reported in Paritosh Bansal, Soyoung Kim, and Benjamin Lim, “Special Report: The U.S. and China Start an M&A Cold War, ”
Reuters
, April 16, 2011,
http://in.reuters.com/article/2011/04/16/idINIndia-56278420110416?feedType=RSS&feedName=everything&virtualBrandChannel=11709
.

86
. Keith Bradsher and Michael J. De La Merced, “China Woos Overseas Companies, Looking for Deals, ” Deal Book,
New York Times,
http://dealbook.nytimes.com/2012/12/11/china-woos-overseas-companies-looking-for-deals/?_r=0
.

87
. Ryan Dezember, “China Goes Shopping for Shale in U.S., Canada, ”
Deal Journal
, May 11, 2012,
http://blogs.wsj.com/deals/2012/05/11/china-goes-shopping-for-shale-in-u-s-canada/
.

88
. Ibid.

89
. Tasman Metals Limited, “Tasman Provides First NI 43-101 Resource for Olserum Heavy Rare Earth Element Project, Sweden, ” press release, February 27, 2013,
http://finance.yahoo.com/news/tasman-provides-first-ni-43-134500782.html
; and Robert Sullivan, “TMR Report Ranks Top 5 Rare Earth Mines Outside of China, ” Rare Earth Investing News, August 22, 2011,
http://rareearthinvestingnews.com/4695-tmr-report-ranks-top-5-rare-earth-mines-outside-of-china.html
.

90
. Lydia Mulvany, “Pentagon Challenges Chinese Monopoly on Rare Earths, ”
Bloomberg News,
November 7, 2012.

1
. For example, Michael T. Klare,
Resource Wars: The New Landscape of Global Conflict
(New York: Macmillan, 2002).

2
. Ibid.

3
. David G. Victor, “What Resource Wars?”
National Interest
no. 92 (November/December 2007): 48–55.

4
. For example, if oil prices were to rise to $200 a barrel, the oil import bill would still be barely more than 5 percent of Chinese GDP. Similarly, iron ore imports totaled slightly less than $100 billion in 2012, about 1.4 percent of GDP; China could afford to handle a substantial price rise even from there. For the latter figure, see Leslie Hook, “China Iron Ore Imports Hit Fresh High, ”
Financial Times
, January 10, 2013.

5
. International Crisis Group, “Stirring up the South China Sea (I), ”
Asia Report
no. 223 (April 23, 2012): 1; and Sam Bateman and Ralf Emmers, eds.,
Security and International Politics in the South China Sea: Towards a Co-operative Management Regime
(New York: Routledge, 2008), 80.

6
. U.S. Geological Survey, “Assessment of Undiscovered Oil and Gas Resources of Southeast Asia, 2010, ” World Petroleum Resources Assessment Project, 2010,
http://pubs.usgs.gov/fs/2010/3015/pdf/FS10-3015.pdf
.

7
. “An Estimate of Undiscovered Conventional Oil and Gas Resources of the World, 2012, ” World Petroleum Resources Project, 2012,
http://pubs.usgs.gov/fs/2012/3042/fs2012-3042.pdf
.

8
. International Crisis Group, “Stirring up the South China Sea (I), ” 25.

9
. U.S. EIA, “South China Sea, ” Analysis Briefs, last updated February 7, 2013,
http://web.archive.org/web/20121207073513/http://www.eia.gov/countries/regions-topics.cfm?fips=SCS
.

10
. As described in Leslie Hook, “Gas Finds Give Impetus to China Sea Claim, ”
Financial Times
, November 9, 2012.

11
. International Crisis Group, “Stirring up the South China Sea (I), ” 25.

12
. CNOOC Ltd., “Annual Report, ” 2011,
http://www.cnoocltd.com/encnoocltd/tzzgx/dqbd/nianbao/images/2012412936.pdf
, 3.

13
. U.S. EIA, “East China Sea, ” Analysis Briefs, last updated September 25, 2012,
http://www.eia.gov/countries/analysisbriefs/east_china_sea/east_china_sea.pdf
.

14
. Ibid.

15
. Ibid.

16
. Leszek Buszynski, “The South China Sea: Oil, Maritime Claims, and U.S.-China Strategic Rivalry, ”
Washington Quarterly
35, no. 2 (2012): 140.

17
. Grace Oh, “S. Korea Submits Formal Claim on East China Sea Shelf to U.N., ”
Yonhap News Agency
, December 27, 2012,
http://english.yonhapnews.co.kr/national/2012/12/27/43/0301000000AEN20121227001100315F.HTML
; and Ben Dolven, Shirley A. Kan, and Mark E. Manyin,
Maritime Territorial Disputes in East Asia: Issues for Congress
, Congressional Research Service, January 30, 2013.

18
. Han-Yi Shaw, “The Inconvenient Truth Behind the Diaoyu Senkaku Islands, ” On the Ground,
New York Times
, April 19, 2012,
http://kristof.blogs.nytimes.com/2012/09/19/the-inconvenient-truth-behind-the-diaoyusenkaku-islands/
.

19
. Aibing Guo and Rakteem Katakey, “Disputed Islands with 45 Years of Oil Split China, Japan, ”
Bloomberg Businessweek
, October 12, 2012,
http://www.businessweek.com/news/2012-10-10/disputed-islands-with-45-years-of-oil-split-china-japan
.

20
. Kevin Voigt, “Dangerous Waters: Behind the Islands Dispute, ”
CNN
, September 24, 2012,
http://www.cnn.com/2012/09/24/world/asia/china-japan-dispute-explainer
; and Tania Branigan and Justin McCurry, “Japan Releases Chinese Fishing Boat Captain, ”
Guardian,
September 24, 2010.

21
. Chinese Foreign Ministry spokesperson Jiang Yu, as quoted in “China FM Summons Japanese Ambassador over Japan's Seizure of Chinese Fishing Boat, ”
Xinhua,
September 10, 2010,
http://news.xinhuanet.com/english2010/china/2010-09/10/c_13489262.htm

22
. Martin Fackler and Ian Johnson, “Arrest in Disputed Seas Riles China and Japan, ”
New York Times,
September 19, 2010. From the Japanese Foreign Ministry: “The Ministry of Foreign Affairs of China announced that they ‘would take strong counter measures' against Japan on its website. Xinhua News Agency reported the temporal suspension of mutual visits by ministerial level officials and above and the cancellation of aviation talks between Japan and China. The same announcement was made by a spokesperson of the Ministry of Foreign Affairs of China by September 20.” See Ministry of Foreign Affairs of Japan, “Major Exchanges Between Japan and the People's Republic of China Concerning the Collision Incident Between Japan Coast Guard Patrol Vessels and a Chinese Fishing Trawler in Japanese Territorial Waters off the Senkaku Islands, ” October 2010, accessed July 2013,
http://www.mofa.go.jp/region/asia-paci/china/r-relations/major_e.html
.

23
. As described and quoted in Fackler and Johnson, “Arrest in Disputed Seas.”

24
. As reported in Jiao Wu, “Premier Wen Urges Japan to Release Captain, ”
China Daily,
September 22, 2010,
http://www.chinadaily.com.cn/china/2010-09/22/content_11337158.htm
.

25
. Keith Bradsher, “Amid Tension, China Blocks Vital Exports to Japan, ”
New York Times,
September 22, 2010.

26
. Branigan and McCurry, “Japan Releases Chinese Fishing Boat Captain”; “Japan to Free Illegally Detained Chinese Boat Captain, ”
Xinhua
, September 24, 2010,
http://news.xinhuanet.com/english2010/china/2010-09/24/c_13527494.htm
; and “China to Bring Back Trawler Captain by Chartered Flight: FM Spokesperson, ”
People's Daily Online,
September 25, 2010,
http://english.people.com.cn/90001/90776/90883/7149097.html
.