-->NYTimes

SHANGHAI, Dec. 9 - Residents of a fishing village near Hong Kong said that as many as 20 people had been killed by paramilitary police in an unusually violent clash that marked an escalation in the widespread social protests that have roiled the Chinese countryside. Villagers said that as many as 50 other residents remain unaccounted for since the shooting. It is the largest known use of force by security forces against ordinary citizens since the killings around Tiananmen Square in 1989. That death toll remains unknown, but is estimated to be in the hundreds.

The violence began after dark in the town of Dongzhou on Tuesday evening. Terrified residents said their hamlet has remained occupied by thousands of security forces, who have blocked off all access roads and are reportedly arresting residents who attempt to leave the area in the wake of the heavily armed assault.

"From about 7 p.m. the police started firing tear gas into the crowd, but this failed to scare people," said a resident who gave his name only as Li and claimed to have been at the scene, where a relative of his was killed."Later, we heard more than 10 explosions, and thought they were just detonators, so nobody was scared. At about 8 p.m. they started using guns, shooting bullets into the ground, but not really targeting anybody.

"Finally, at about 10 p.m. they started killing people."

The use of live ammunition to put down a protest is almost unheard of in China, where the authorities have come to rely on rapid deployment of huge numbers of security forces, tear gas, water cannons and other non-lethal measures. But Chinese authorities have become increasingly nervous in recent months over the proliferation of demonstrations across the countryside, particularly in heavily industrialized eastern provinces like Guangdong, Zhejiang and Jiansu. By the government's tally there were 74,000 riots or other significant public disturbances in 2004, a big jump from previous years.

The villagers in Dongzhou said their dispute with the authorities had begun with a conflict over plans by a power company to build a coal-fired generator in their area, which they feared would cause heavy pollution. Farmers said they had not been compensated for the use of the land for the plant. Others said plans to reclaim land by filling in a local bay as part of the power plant project were unacceptable because people have made their livelihoods there as fishermen for generations. Already, villagers complained, work crews have been blasting a nearby mountainside for rubble for the landfill.

A small group of villagers was delegated to complain to the authorities about the plant in July, but they were arrested, infuriating other residents and encouraging others to join the protest movement. On Dec. 6, while villagers were mounting a sit-in demonstration, police made a number of arrests, bringing lots of people out into the streets, where they managed to detain several officers. In response, hundreds of law enforcement agents were rushed to the scene. Everybody, young and old,"went out to watch," said one man who claimed his cousin had been killed by a police officer's bullet in the forehead."We didn't expect they were so evil. The farmers had no means to resist them."

Early reports from the village said the police opened fire only after villagers began throwing homemade bombs and other missiles, but villagers reached by telephone today denied this, saying that a few farmers had launched ordinary fireworks at the police as part of their protest."Those were not bombs, they were fireworks, the kind that fly up into the sky," said one witness reached by telephone."The organizers didn't have any money, so someone bought fireworks and placed them there. At the moment the trouble started many of the demonstrators were holding them, and of those who held fireworks, almost everyone was killed."

Other witnesses estimated that 10 people were killed immediately in the first volley of automatic gunfire."I live not far from the scene, and I was running as fast as I could," said one witness, who declined to give his name."I dragged one of the people they killed, a man in his 30's who was shot in his chest. Initially I thought he might survive, because he was still breathing, but he was panting heavily, and as soon as I pulled him aside, he died."

The witness said that he, too, had come under fire when the police saw him coming to the aid of the dying man. The Chinese government has yet to issue a statement about the incident, nor has it been reported in the state media. Reached by telephone, an official in the city of Shanwei, which has jurisdiction over the village, said,"Yes, there was an incident, but we don't know the details." The official said an official announcement would be made on Saturday.

Villagers said that in addition to the regular security forces, the authorities had enlisted thugs from local organized crime groups to help put down the demonstration."They had knives and sticks in their hands, and they were two or three layers thick, lining the road," one man said."They stood in front of the armed police, and when the tear gas was launched, the thugs were all ducking."

Like the Dongzhou incident itself, most of the thousands of riots and public disturbances recorded in China this year have involved environmental, property rights and land use issues. Among other problems, in trying to come to grips with the growing rural unrest, the Chinese government is wrestling with a yawning gap in incomes between farmers and urban dwellers, and rampant corruption in local government, where unaccountable officials deal away communal property rights, often for their own profit.

Finally, mobile telephone technology has made it easier for people in rural China to organize, communicating news to one another by short messages, and increasingly allowing them to stay in touch with members of non-governmental organizations in big cities who are eager to advise them or provide legal help.

Over the last three days, residents of the village say that other than people looking for their missing relatives, few people have dared go outside. Meanwhile, the police and other security forces have reportedly combed the village house by house, looking for leaders of the demonstration and making arrests.

Residents said that after the villagers' demonstration was suppressed a senior Communist Party official came to the hamlet from the nearby city of Shanwei and addressed residents with a megaphone."Shanwei and Dongzhou are still good friends," the party official said."We're not here against you. We are here to make the construction of the Red Sea Bay better. Later, the official reportedly told visitors,"all of the families who have people who died must send a representative to the police for a solution."

Today, a group of 100 or so bereaved villagers gathered at a bridge leading into the town, briefly blocking access to security forces hoisting a white banner whose black-ink characters read:"The dead suffered a wrong. Uphold justice."

-->Globalization - a Blessing for Mankind?
Outlook upon the coming year 2006

Almost every day we are reminded of globalization and its fast progress! By the term 'globalization', most people understand the worldwide opening of markets coupled with an unlimited exchange of goods and services between low-labour-cost countries and the industrialized nations.

In this context, our interest focuses on the present and the future effects of globalization on the individual human being. Meanwhile, whole nations depend on this rather one-sided commercial exchange. As trailblazers advocating limitless purchases of Chinese goods of any type at rock-bottom prices, the Americans have been feeling for some time the imbalance thereby created in respect of both the balance of trade and that of payments. The billions of Dollars accumulated by the Chinese are used to purchase American treasury bonds and certificates, but recently also to acquire top-level U.S. corporations or divisions thereof, which are connected with the computer field, various technologies or with oil production.

The fast changes in the framework of commerce and exchange of goods with China bring about lots of problems defying all attempts at their solution on worldwide level. For whatever reasons, these problems are either not at all communicated here, or then in a rather nontransparent manner. In contrast thereto, an increasing number of people suffer the consequences of these developments by losing their jobs, by their places of work becoming"volatile" and by their salaries being frequently reduced.

In the worldwide race for opportunities of supply to China, or alternatively to import from that country at favourable conditions, no efforts or means are spared in order to play in the forefront and to oust competitors from the market. As a last resort, huge funds have been invested during recent months in Chinese banks and insurance companies, or to acquire participations in such companies. In this area, the proven motto is valid:"First come, first served." Who comes last has to be content with leftovers!

This almost pathological mania to stake everything on one sole card could turn out to be a disastrous boomerang. For decades, the dangers connected with wheeling and dealing in the Chinese market have been quite well known. But all the same, nobody wants to keep out of this Far Eastern gold rush. On the contrary, contracts and agreements are concluded uninterruptedly like blazes, seconded by numerous bilateral treaties.

Two alarming matters stand out. Whereas in the Western industrialized nations, an outright impoverishment of increasingly large jobless segments of the population becomes very likely, numerous millions of low-cost labour are drawn to the factories, people hungry for education are crowding the universities while others get employed as office workers in Asia's giant nation China. However, should the gradually diminishing Western demand finally collapse, this will forcibly cause unsolvable problems because then the cravings of those Chinese generations now addicted to consumerism cannot be satisfied any longer.

Within the foreseeable future, there is also the danger that certain autonomous regions and/or ethnic groups might secede from the central government in Peking. This is probably an unavoidable development, but China might engage in suppressing such insurrections by military force or at least to obstruct and harass them ideologically. Under such circumstances, it is quite foreseeable that longstanding territorial claims - in close vicinity of borders or even somewhat more distant - might be enforced militarily, including an attack on Taiwan, in order to deflect attention from domestic problems.

Caused by the extremely fast pace of unchecked industrialization, the numerous Chinese ecocatastrophes of recent times involve incalculable risks. Such risks are also caused by a whole young generation's desire for a rapid democratization as a consequence of having opened the borders.

In an economic and social context, China will be of even more topical interest to us in the coming year than in the recent past. A distinct sign of overheating is revealed by the indices of Chinese markets, which are diminishing since the beginning of 2005. To be on the safe side, all investment decisions must prudently take into account the effects of globalization. At any rate, there is no doubt that, during the past twelve months, the risks in this area have substantially increased.

Zug, 15 December 2005