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What’s really driving China’s ambition to buy up Hollywood and win the World Cup?

This post can also be read at SCMP.COM

The globalisation of the film industry is going to mean that “you can’t tell whether it’s a Chinese film or a Hollywood film any more.” That was according to Warner Bros’ CEO and Chairman Kevin Tsujihara last week as he heralded Sino-American co-productions now in the pipeline at Flagship Entertainment, a joint venture involving WB, Hong Kong broadcaster TVB and China Media Capital, the Chinese state-backed investment firm.

Perhaps you are a film fan. If so, how does this make you feel? Do you want to watch films that scramble all evidence of who made them and why – films with nothing to offer in the way of cultural specificity? You don’t? Well, that’s simply inconvenient. Chinese tycoons, in league with enthusiastic American partners, have their sights on establishing new global entertainment empires capable of capturing box office gravy in both East and West alike, and they want your money.

There’s nothing new about people in the entertainment business trying to maximise profits, you might protest, and you’d be right. What’s grating, I think, is the subtle suggestion that this coming together of cash, talent and storytelling – One Script, One Road, if you like – is just one big exercise in global cuddliness.

There have been other deals. Perfect World Pictures last month announced a co-financing partnership with Universal Pictures. Hunan TV is sinking US$1.5 billion into Lionsgate. Huayi Brothers and Fosun International are also investing heavily in American movie ventures. Moreover, the purchase in January of Legendary Pictures (Godzilla, Jurassic World) by the world’s biggest cinema chain operator (and China’s biggest private property developer), Wanda Group, for US$3.5 billion, has been branded “China’s largest-ever cultural takeover.”

U.S. anti-trust laws – look up the Paramount Decrees – are supposed to prohibit ownership of both movies and theatres. Wanda already owned AMC Entertainment, America’s second-biggest theatre chain. Why has nothing been made of this? Cynics might say it’s because the Yanks really, really want direct access to China’s booming box office, which is forecast to outstrip their own in the next couple of years. In that mission, however, they are also likely to find themselves dancing to the tune of the Chinese State Administration of Radio, Film and Television (SARFT), a body whose latest set of rules, targeted at TV producers, amounts to a laundry list of prohibitions, including bans on content that is “to the detriment of national image [or] endangers national unity and social stability”, “exaggerates social problems, displays excess, or shows the dark side of society”, “sets a negative character as a main character”, or “breaks with national sentiment”.

It is inconceivable that the propaganda risks and opportunities associated with inviting Hollywood into the Chinese multiplex have not been weighed by Beijing. Equally unlikely is that Xi Jinping himself has not had a hand in urging Hollywood-bound cash outflows. Establishing a modern consumer society in China that bears at least some of the hallmarks of America’s is a recurring theme of his leadership. One need only consider cinema’s counterpart on Xi’s two-pronged fork of consumerist expansionism to forget the notion that this is entirely about “rebalancing” the economy, however.

That other prong is sport – or, more specifically, football (the proper variety, not the American version). Led by Li Ruigang, a man dubbed “China’s Rupert Murdoch”, in November the very same China Media Capital paid 8 billion yuan (HK$9.5 billion) for the broadcast rights to the Chinese Super League for the next five years. For their part, meanwhile, Wanda last year not only took a 20 per cent stake in the Spanish football club Atletico Madrid but paid US$1.2 billion for the Swiss-based sports marketing company Infront Sports & Media, a company that holds the exclusive sales rights to broadcast Fifa events from 2015 to 2022, including the 2018 and 2022 World Cups.

Until very recently, global interest in the CSL was trace to non-existent. As reported diligently by the Post’s own James Porteous, it has increased somewhat in 2016 as Chinese clubs have taken to offering players double what they’re earning in Europe in a frenzied spree of spending fuelled by that injection of cash from CMC – who are evidently betting on a huge increase in demand for domestic football content and increased interest in the game generally.

To that end, China plans to have 20,000 designated football schools by 2017, raising participation to unprecedented levels. Professing himself a fan of the game, Xi has also made it known he wants China to host a World Cup and ultimately to win one. To be clear, then, the objective is to become a global power in the world’s most popular sport.

In his book Civilisation: The West and the Rest, Niall Ferguson wrote about China trying to replicate the West’s historical va va voom in pursuit of prosperity, or “downloading its best apps”: competition, science, the rule of law, modern medicine, the Protestant work ethic and consumerism. The evidence suggests China has a few problems with its version of the third-mentioned, but in terms of consumerism, well, blockbuster movies and football as drivers of economic growth would seem like straightforward rips.

Only nothing’s as straightforward as Xi might wish. Just as Western moviegoers are likely to vote with their feet and stay away from the kind of films that adhere to SARFT’s worldview, Chinese football isn’t about to become exportable any time soon, and it’s far from certain that the subscription base needed to make the numbers add up domestically will materialise.

Matthew Syed argued in The Times (of London) the other week that Xi’s backing for football is about political indoctrination and control, that it is characterised by “top-down planning and the use of vast (unaccounted for) resources”, and that the paramount leader has rallied tycoons behind his cause in return for political favour.” “The attempt to rise up the rankings, and to stage the World Cup,” he wrote, “is testimony to the growing paranoia of China’s elite. Repression has escalated under Xi as the economy has slowed and propaganda is set to do precisely the same. In that sense, football is a mere pawn in a game of much higher stakes.”

It is certainly true that China’s leadership is facing multiple headwinds: slowing economic growth, shrinking employment, crashing markets, a growing suspicion that serious financial, economic and social problems are being papered over. And indeed, building up the nation’s leisure-industrial complex might be viewed, by the Marxist and the capitalist alike, as a useful expedient via which citizens / consumers can keep themselves (and not the streets) occupied. The official narrative is that buying Hollywood in order to censor it and demanding domination of a sport at which you are currently useless speaks of cultural confidence. It could just as easily be read as stemming from profound insecurity.


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Ugly populism is not an argument against democracy

This post can also be read at SCMP.COM

The beacon light on the shining city on the hill is guttering. The barbarians are at the gate and the fox is in the henhouse. The worm, you may be assured, has scoffed the apple. Ladies and gents, American democracy is being exposed for a sham by an absurd buffoon who looks like a character from the funny papers. The mot du jour is dysfunctionality, and dysfunctionality is afflicting all known institutions grievously – but some (political parties, the electoral process) more than others. With the rise of Donald Trump, we have reached the inevitable end-point of politics’ showbusiness vajazzling. America’s Got Talent but it’s being offered a preening, pelt-haired Tony Soprano instead and if it’s repulsed it’s also enamoured.

I offer my apologies. Words along these lines are in over-supply right now – as likely to be voiced by disbelieving American conservatives as by liberals, by people with a dog in the fight as by despairing onlookers in other parts of the world. It’s almost as though Trump’s detractors have begun to echo and amplify the nihilism of his message. Millions of Americans, it is understood, have lost faith: in government, in political parties, in big business, in the media. Trump exploits this loss of faith to build a following. Trump-watchers respond that this following is further proof of the loss of faith, and of the dysfunctionality of the system – of the parties’ inertia, of a debased campaign financing model, of the remaking of politics as a reality gameshow. Others look at his followers and blame the situation on their stupidity and susceptibility. Either way, if you believe many parts of the commentariat, it’s democracy itself that is kaput.

This is a negative message for Americans to consume. For folks in places around the world where democracy does not exist it is all the more depressing. Indeed, the only people likely to take any solace from it are those who consider democracy a virus anyway. People like the Chinese Communist Party and its friends. Look, they might say of the world’s most hubristic polity – democracy is a mass of contradictions that offers only the illusion of freedom. Institutions are at the mercy of big money, Congress is gridlocked, mob violence attends public rallies and demagoguery is cutting through. In such an analysis, radical populist movements – whether in America or in Hong Kong, where we have a growing “localist” faction that’s driven in part by anger at the city’s “mainlandisation” and a failure to address blue-collar concerns – are warnings against disrupting the corporatist status quo.

There’s little doubt that Trump is garnering support not only for the populism of his message but also for his abandonment of the normal rules of civility – those are for the establishment “schmucks” on all sides who’ve propagated a system of top-down technocracy. Flat-footing his opponents by being provocative and boorish has played well with large constituencies of voters who are tired of party automatons. Other candidates gotta serve somebody – big pharma, Wall Street; The Donald’s personal wealth allows him to make a virtue of serving only himself. His anti-establishment credentials thus defined, he has eschewed consistency. Who knows what a Trump presidency might have in store for the world? His instincts seem not only protectionist but isolationist. He thinks America gets a raw deal as the world’s policeman. On the other hand, he wants to “rebuild” its military, and he wants to “beat” China, Mexico, Russia and Iran. If there’s a unifying message, it might be that the rest of the world can go to hell.

Trump also believes in torture, mass deportations and banning certain monotheistic types not of a Judaeo-Christian persuasion. The man most likely to gain the Republican Party presidential nomination is an authoritarian oaf. Does this invalidate democracy? No, it does not. Not in any real sense. Authoritarian thugs can be voted in; in democracies they can also be voted out. Meanwhile, the United States Constitution enshrines checks on the executive branch of government. That hoariest of Winston Churchill quotes serves: “Democracy is the worst form of government except all those other forms that have been tried from time to time.”

In a more pragmatic sense, a Trump candidacy, while representing a nadir, may actually be good for the GOP: it may cause it to fracture, but the healing process would surely return it to a more centrist, consensus-building course. Already, the Trump enema has convinced some conservative thinkers that what’s required is to develop more policies that appeal to working people. Moreover, if – as pollsters anticipate – Hillary Clinton wins a two-way race against Trump in November, she could end up with a uniquely bi-partisan mandate.

To those who despair, or gloat, at the state of U.S. democracy, however, one need only point out one abiding characteristic of it to sustain a more romantic view. If millions of Americans have “lost faith” in politics, then millions of others do not appear at all cynical about the enterprise (and it’s true that both Trump and his leftist counterpart in the Democratic primaries, Bernie Sanders, have brought entirely new groups of voters into the process). A passion for voting and elections has been a feature of American civil society since at least the 1830s, when the French writer Alexis de Tocqueville exclaimed on it in his classic book Democracy in America. A little further back, Aristotle defined man as a political animal (zoon politikon) with an innate need to debate questions of justice and the common good. Sometimes this gives rise to expressions of humanity’s uglier nature. But no, democracy itself is not the virus.


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The best obtainable snapshot of impending doom in Hong Kong

This blog post can also be read at SCMP.COM

It is a rare thing these days to find oneself at liberty to read an entire day’s newspaper in a sitting. “Distracted from distraction by distraction … in this twittering world” writes T.S Eliot in Burnt Norton, and he is not wrong. Alright, I skipped 11 other lines with that “…”. Plus: they hadn’t even got television news yet in his day, never mind Twitter. Nor did he have children. But still, he was a man ahead of his time, old T.S.

Printing newspapers will be done away with some day soon, you know. Either that or they’ll become a niche curiosity, like cars with steering wheels, or ivory cufflinks. Or cufflinks of any sort, for that matter. Either way, it’ll be your fault, blog reader – you, with your low attention span and gadabout reading habits, your social media and your windows and your apps. Newspapers are dying because you’ve stopped buying them. You’ve decided to spend the money on other stuff: hot milk blasted with coffee, Netflix, gifts for other people’s already-spoilt children. Frankly it’s a nonsense and you should have a talk with yourself. Just think of the money you’re saving by not smoking all day like everyone did not that long ago. And don’t imagine you’re excused by saying you never used to read the thing anyway. In the old days plenty of people bought a daily newspaper simply in order to leave it unopened on a telephone stand. They threw it in the bin the next day, or hid it under a carpet to be rediscovered years hence, or used it to wrap their grandmother against the cold in winter. And they did so because to buy a newspaper was the right thing to do.

In truth I am out of the habit of stockpiling newspapers under carpets and as guilty as anyone of not reading the ones I remember to buy. But, every so often, mindful of that thing Carl Bernstein said about good newspapers serving up the best obtainable version of the truth each day, I do make an appointment to sit down and read all of the South China Morning Post. It’s still the most therapeutic way, I find, of fathoming what’s what in Hong Kong. Instead of venturing online in search only of that which interests me then falling prey to all manner of bait-mongers, I’m effectively saying: gimme what you’ve got, warts, biases and all.

The snarl I’m coming to is this, though – the snapshot of the truth I gained from scouring the pages of the SCMP the other day was anything but therapeutic. It was, on the contrary, a vision of impending doom, catastrophe, unease, horror, pain, decline, dissolution, war and possibly apocalypse. Such, in fact, was my distress that I failed to take solace from the likelihood that non-newspaper readers are every bit as vulnerable to this tide of ruin as newspaper readers. And in that magnanimous vein, I think I perform a service by relating it.

In the news pages I learned the following: that there is a Cold War-style stand-off at the DMZ; that China is suspected of building a radar system in the Spratlys that may hasten World War III; that intimidation of journalists is being redoubled with a new threat of graft proceedings against state media workers; that the Communist Party’s revolutionary princelings are hunkering down for a “protracted war”. In the introduction to an Insight column, I discover: “One of the most talked-about topics these days is undoubtedly China”. It is an effort to read on.

In Hong Kong there is an alarming rise in HIV cases. There is rape, robbery and assault. Meanwhile, it is suggested financial secretary John Tsang’s budget handouts are having a “placebo effect” on a soon-to-be flatlining economy. Standard Chartered has reported annual losses and its top directors won’t be getting a bonus for 2015. Surely a public fund will be raised, you ask, not unreasonably. In America, a man has been fired from the staff of one presidential hopeful for alleging that another presidential hopeful said the bible did not contain all the answers to everything. (Relax, he said the opposite.)

I read some more about the fallout from the violence in Mong Kok the other week. Richard Wong writes that Hong Kong’s “growing socioeconomic divide… has deepened anxiety, insecurity and conflict in day-to-day life.” Expect more social unrest. In the Property Section, it’s all about property prices “sinking”. I briefly wonder if this is a good thing, at least for all the people who currently can’t afford to buy, but there is no mention of this. Instead, there is cause to worry that spending is down at Chow Tai Fook. It is “depressed”, you see. Draw up one of those keyword cloud things and you will have a picture of the toxic verbal traffic in my head: “economic woes”, “market volatility”, “bleak outlook”, “deeply divided,” “Senator Ted Cruz”.

Finally, there is some light relief as I turn to the sports pages. One of global football’s most dedicated mercenaries, Sven Goran Eriksson – now manager at Shanghai SIPG – says that China will win the World Cup “in a decade”. If you’re laying a carpet, make sure that one goes down nice and flat.


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When Xi meets the Queen – what won’t happen

This blog post can also be read at SCMP.COM –

http://www.scmp.com/comment/blogs/article/1865134/7-things-probably-wont-happen-during-xi-jinpings-state-visit-britain

The last time a Chinese leader was given a state reception in Britain, in 2005, Queen Elizabeth pulled on her smartest red hat and coat and put it to President Hu Jintao and his lady wife: “Have you come far?”.

The monarch’s civility was slightly undermined, however, by her heir to the throne – Prince Charles played truant, muttering off-stage about human rights and the Dalai Lama. The UK’s then-Prime Minister, Tony Blair, meanwhile, spoke excitedly of “an unstoppable momentum” towards democracy for China. When the Chinese delegation left, the staff of Buckingham Palace were ordered to count the spoons.

OK, fine, that last bit was guesswork. It is impossible to know what goes on in the households of heads of state. It may be that Prince Philip, aka the Queen’s other half, aka Phil the Greek, hides spoons in guests’ luggage for his own sport. Still, now that Britain is desperate to become “China’s best partner in the West” – as the country’s Finance Minister George Osbourne put it in Beijing the other week – the parameters for any meaningful exchanges not involving the (proverbial) hoisting up of British skirts when Xi Jinping touches down in London later this month have narrowed.

In any event, here are just a few of the possible turns unlikely to be taken by events after plain-speaking Phil, 94, has broken the ice with a joke or two about the Japanese and fallen sleep.

1. David Cameron, the British Prime Minister, will insist that in return for a) welcoming Chinese involvement in new UK nuclear power plants, b) turning a deaf ear to American concerns about the security implications thereof, c) jumping on board with the Beijing-led Asia Infrastructure Investment Bank, and, above all, d) investing £700,000 (HK$8.2 million) to assist Chinese citizens who may wish to go on holiday to places in the north of England, British ministers do not in future expect to incur the Chinese state’s diplomatic wrath for talking to harmless old men from Tibet.

2. Mindful of the Chinese love of pork, Mr Cameron will then seek Mr Xi’s advice on how to handle those who write and publish materials alleging Prime Ministerial misadventures involving dead pigs. And how to stamp out seditious communications in general.

3. Mr Xi will thank the Prime Minister for dancing so nimbly to China’s tune but remind him, portentously, that always someone must pay the piper. The Queen’s bagpiper will nod sagely. China’s paramount leader will then thank his hosts for knowing when to “shut up about all that human rights crap, not like the Americans”, adding that Mr Osborne is a man of high principle who is respected throughout China and the world and that the two countries are now best friends forever. He will also promise to keep throwing chickenfeed at the minister’s pet projects and that the £700,000 will not be spent by officials on a night out in Macau.

4. Onto his second whiskey sour, Mr Xi’s charm offensive will continue with an apology to Britain’s Foreign Affairs Select Committee, whose members were barred from entering Hong Kong earlier this year. He will blame the unfortunate episode on an administrative cock-up, praise Britain for giving the world parliamentary democracy and vouch that his administration approves of universal suffrage – for voting out contestants on Chinese Idol.

5. The Queen will ask after the well-being of Zhou Yongkang and observe that by contrast to the unfortunate former Minister of Public Security’s grizzled rug, Mr Xi’s own hair seems vibrant for a man of his years. She will then ask the President if he would like to pet one of her corgis.

6. Jeremy Corbyn, the new hard-left leader of Her Majesty’s Opposition, will attempt to engage Mr Xi in a discussion of Lenin’s 1904 pamphlet One Step Forward, Two Steps Back, and about the timetable for achieving socialism on earth.

7. Charles will announce “sod it, I never wanted to be a constitutional monarch anyway”, harangue Mr Cameron for being a pushover, and for doing so little on behalf of the endangered Patagonian Toothfish, let rip on China for being ghastly and appalling, and then finally settle in to some light Buddhist chanting, the noise from which will waken Phil the Greek from his slumbers.


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Scots and Japanese locked in new space race

This blog post can also be read at SCMP.COM –

http://www.scmp.com/comment/blogs/article/1857331/whisky-vs-pocari-sweat-scots-and-japanese-are-locked-new-space-race

It’s become one of those things people drop into conversations to make themselves sound knowledgeable: Japanese whisky is the best in the world nowadays. Better than the stuff from Ireland and America, don’t you know, and also that place where they make Scotch. Yes, yes: Scotland.

It is true that the Japanese are winning all sorts of awards for their whisky. Most notably, something called the Whisky Bible last year named Yamazaki Single Malt Sherry Cask 2013, by Suntory, the world’s best whisky, with nary a Scottish entry in the top five.

The ascendancy of Nipponese nips should come as no surprise. For a start, it is well-known that the Japanese are terrible swots and brilliant at copying other people’s things and making them better. And secondly, they’ve been at it for long enough: Suntory was founded in 1923, which is ages ago. Back then, most Scotch was still undrinkable, and most people in Scotland were blind and/or raving mad on account of it.

The sudden popularity of Japanese whisky, catalysed by the whole winning awards thing, was not foreseen, however – even by its distillers. Which is why, as it happens, they’re running out of casks that are ready to bottle.

Meanwhile, the Scots have not taken this reverse lying down. No danger – if the Japanese (and the Taiwanese, whose Kavalan Solist Vinho Barrique won best single malt at this year’s World Whiskies Awards) can make proper whisky, then, by the ghost of John Logie Baird, cultivating a little tea is not beyond the ingenuity of my fellow northern Britons.

Earlier this year, a smoky-tasting white tea grown on Scotland’s very first tea plantation, in Perthshire, by The Wee Tea Company, was duly named best tea in the world at the Salon de The awards in Paris. I have no idea why the French consider themselves so expert on the subject, but there you have it: Scotland rules tea.

Now I read that, contrary to the notion of it being the quintessential English drink, Scotland also rules gin. According to the London Times, UK exports of gin are up 37 per cent in five years, largely due to demand for premium tipples from Scottish distilleries, including Hendrick’s and Tanqueray. In Georgian and Victorian times, Londoners drank so much gin it rendered men impotent and women sterile, but seemingly now even that which is labelled “London dry gin” is more likely to originate from Scottish stills than English ones. One can almost hear Nicola Sturgeon, Scotland’s secessionist First Minister, cackling away.

Now that things are going all “craft” on the gin front, Hong Kong, predictably, has its very own circuit of gin bars run and frequented by men with awful Victorian-sized beards and charging modern-day Shoreditch prices, only doubled. Good luck to them, although the drink’s aptness to induce maudlin tendencies does not, perhaps, commend it altogether in an era of impending economic dissolution.

It has long troubled me, incidentally, that your average Hong Kong barman cannot grasp that gin and tonic is served with lime (or indeed lime juice instead of tonic, if you’re the subaltern in John Betjeman’s A Subaltern’s Love Song). All too often lemon, with the wrong gin, introduces an unwelcome hint, I find, of Pocari Sweat – the Japanese sports drink made from Pocaris, that lesser-known member of the citrus family.

I hasten to add here that on its own Pocari Sweat is a faultless beverage and an excellent hangover cure. As such, I can think of no more fitting product to pioneer branding on the moon – as it will next month, when its owner, Otsuka, sends a rocket there with a capsule containing Pocari Sweat, in powder form. The company’s laudable idea is that at some future date, present-day children inspired by the mission to become astronauts will touch down and be able to relieve their hangovers, or perchance simply their thirsts, by mixing the powder with the (currently arid) moon’s own water.

What is not admitted by the Japanese is that their designs are very much part of a beverage-centric space race in the making. The Scots, their principal adversaries, struck an early blow: some vials of unmatured malt from Ardbeg Distillery on Islay have just returned to earth after being transported to the International Space Station on a Russian rocket in October 2011. The whisky had orbited the earth for 1,045 days and was found afterwards by the distillery’s tasters to have a more “intense” flavour, although it’s unlikely they were about to declare “it tastes just the same” after going to all that trouble.

Another other piece of whisky-related news is that Whisky Galore!, the 1949 Ealing comedy set on a remote Scottish island, whose inhabitants appropriate a shipwrecked cargo of whisky, is currently being re-made. I would not be surprised to discover that the whole story has been relocated to space, nor that some role had been found for the Japanese as villains.