Relationship Between Hong Kong and China Since the Establishment of the Peoples Republic of China - Essay Example

RELATIONSHIP BETWEEN HONG KONG AND CHINA SINCE THE ESTABLISHMENT OF THE PEOPLES REPUBLIC OF CHINA The People’s Republic of China is a country within East Asia. The International Business Publication 2007 records that PRC is the world’s fourth largest economy and indeed predicted to become the largest by the year 2020. There has been a constant dispute with the PRC trying to claim ownership of Taiwan together with surrounding island, which is under the control of the Republic of China. The PRC is a sovereign country and referred to as Mainland China with exclusion of two Administrative regions of Hong Kong and Macau1. The Peoples Republic of China has control over Hong Kong following a series of negotiations with the British Government that initially took over the region. This essay focuses on the relationship between China and the Hong Kong as a special administrative region after the establishment of PRC. According to Postiglione 1997, Hong Kong’s relationship with China since the establishment of Peoples Republic of China has significantly changed. Indeed, this has given Hong Kong a remarkable position in the international market. Evidently, the PRC established just as the global economy was beginning to adjust. This played a major aspect in the transforming the structure of Hong Kong’s economy2. For instance, Shake et al 2004 submits that Closer Economic Partnership Arrangement (CEPA) was an agreement between Hong Kong and the PRC that revealed the exceptional principle of “one country, two systems”. This agreement was signed by the two jurisdictions on June 29, 2003; and it became effective in January 2004. Therefore, it contributed significantly in the social transformation of the Region. Furthermore, the relationship with China changed as PRC was struggling to establish new political and economic forms in its first three decades3. Zhao 2003, blames China regarding her policy towards Hong Kong, he suggests that China should have claimed Hong Kong in 1949 or shortly thereafter. By allowing her rival Britain to take charge of HK through forced signing of agreements that leased it out, Zhao observes that China made a great exception to its fundamental policy strategies4. The current trend of Hong Kong’s identity became evident- significant policy adjustment in China, and this commenced shortly preceding the passing on of Mao Zedong in 1976 as recorded by Postiglione 1997. China took on the decentralization of authority based on Soviet styles and marked with liberalization of the economy. This involved efforts to bring on board market strategies that cautiously opened the variables of Global economy, and the modern values of economic organization. For instance, most Hong Kong manufacturers started producing in China for export to the developing countries. This is because the companies had a lot of interest in the domestic market of China. However, Hong Kong and China through CEPA agreements zero-rated the tariffs to encourage the manufacturers to move back to Hong Kong, and protect Intellectual Property. As a result, all these contributed to the elaborate reforms that redefined the economy of Hong Kong as well as key political, social, and cultural consequences. More importantly, Hong Kong got the opportunity to influence the direction of its economic progress and those of the neighboring regions5. Additionally, Hong Kong became the key access point for China to the international financial structure. For example, Hong Kong is a key market for the USA exports and it consumes many of the USA commodities than any of the world’s economy. Indeed, Hong Kong was the 11th largest market for the USA, and the Ninths largest for California6. Furthermore, Moller Records that in 1996, California exported $3.6 Billion to Hong Kong, which is more than a quarter of the USA exports. Another area where there is a significant relationship between Hong Kong and China is in policy reforms and legal services. These reforms brought about quick progress in China, particularly in the Southern region of the coast. Equally, great economic opportunities came about for Hong Kong in 1980s all through to 1990s7. Observably, the relationship has also come with political and cultural challenges; this came about as China looked forward to restore its sovereignty over Hong Kong. More still, the relationship of Hong Kong to China has been a core matter in the nature of economic and political character as well as social- cultural possibilities of Hong Kong. Indeed, the China aspect coupled with continued changes in structure in global economy, has lead to a great definition of Hong Kong since later years of 1970s8. According to Postiglione 1997, reactions to the political proceedings in China around 1989 presented a test of internal changes within Hong Kong. Furthermore, the occurrences were disturbing to the residents of Hong Kong and this was evident by the nature of their response to the political event of 1989. In fact, they developed some degree of doubt and apprehension. However, when China continued to participate in economic development especially in the neighboring Guangdong province, their apprehension disappeared and had some hope. In spite of that insecurity among the people, the Region of Hong Kong was evidently satisfied and comfortable with its state. For instance, there is a wide belief that its authority expands past its original administrative borders to China. Arising from that, the residents looked forward to an improved status of the region after 1997. Evidently, Moller 1997 observes that the economies of Hong Kong and China are interdependent. Consequently, it is in the interest of both governments to sustain the conditions that bring about development in the region. However, concern of perceived controls on the political front could hinder open access to information, which is very vital in trade. In 1995, the Government of Hong Kong carried out legislation that did away with all the seats of an appointment in the legislative council so that they could actually be electives. However, China opposed the rules of election that were adopted by Hong Kong government. Indeed, China made clear its plan to do away with the 1995 legislative Council, district boards, and municipal councils in July 1997. Additionally, it declared a committee set up by PRC would have the mandate of deciding how the first legislative council would be formed9. More still, the relationship between Hong Kong and China was further constrained by the construction of an airport and a port facility10. In this case, China initially opposed the project since it took it a British’s ploy to clear the finance of Hong Kong government before the transfer of sovereignty. Moreover, China argued that there was no consultation on the development. Furthermore, it held that doing so would interfere with the reunification process. It is only through negotiation that China and Britain agreed to fund the project jointly11. According Wong 2012, the relationship between Hong Kong and China can be evaluated in the understanding that Hong Kong lost its political independence albeit with confidence. On the other hand, PRC lost part of its moral high standing by interfering with the justice system of Hong Kong. Observably, the situation paints PRC as capable of adopting political pressure to manipulate HK at certain circumstances. According to the Ministry of Foreign Affairs the Peoples Republic of China, Hong Kong (HK) is within the territory of China since ancient times. The British used the opium war against China in 1840 where they forced the then Government of Qing to sign the Treaty of Nanking. This treaty permanently ceded Hong Kong Island to Britain12. In 1856, the Britain and French governments launched a second offensive in which the government of Qing was a gain compelled to sign the treaty of Perking in 1860 ceding the island of Kowloon located at the Southern boundary13. More still, the Sino-Japanese war gave the Britain an advantage in compelling the Qing Government in signing an agreement for the increase of Hong Kong territory. In this case, the northern part of the island, that was generally referred to as the new territories were leased to Britain for Ninety-Nine years that ended in 199714. In 1984, a joint Declaration was made by the two governments to hand over authority over HK to the Peoples Republic of China. The declaration stated that The Britain would reinstate HK to PRC. Consequently, the Peoples Republic of China effectively assumed the sovereignty over Hong Kong in July 1, 199715. Additionally, the declaration, established the Hong Kong Special Administrative Region with exclusive autonomy. According to Moller 1997, the region has executive, legislative and independent judicial powers; including the final adjudication. Indeed, Hong Kong is now a free society with legally protected rights. In conclusion, the relationship between HK and China following the establishment of PRC is very significant in the development of both states. The points of differences are very healthy and promote openness that helps in binding the relationship. More significantly, the rules that guide the relationship are fashioned in a manner that enables HK and PRC to negotiate their differences. This enables the general goal of unity and moving forward as a single state. Furthermore, it is observed that the conflict of one Country, two systems is evident between the distinct political, social, and economic administrations. These systems have to live and work together though within a restricted ideological spectrum and narrow legal range as portrayed in the principle. Bibliography Chow Irene Hau-siu. “Managerial Values and Practices Sharing Common Cultural Heritage: A Comparison of Cultural Values in Hong Kong, Taiwan and the Peoples Republic of China.” Journal of Asia-Pacific Business. 2, no 4, (2000), 21-38 Cremer, R.D. “Hong Kong, Macau, and the People’s Republic of China.” Journal: Asian Affairs: An American Review. 18, no. 3, (2012), 153-166 Holcombe, Charles. A history of East Asia: from the origins of civilization to the twenty-first century. (New York: Cambridge University Press 2011). International Business Publications, USA. China Business Law Handbook. (Int’l Business Publication. Washington DC, USA. 2007). Lee, Pui-tak. Hong Kong reintegrating with China political, cultural and social dimensions. (Hong Kong: University of Hong Kong. 2001). Moller, Rose Maria. Hong Kong’S Reversion to the People’s Republic of China: Implication for California. California Research Bureau.(Sacramento, CA: California State Library., 1997) Peterson, Glen. Overseas Chinese in the People’s Republic of China. Chinese Worlds. (New York City, Routledge., 2013). Postiglione, Gerard A.. Hong Kongs reunion with China: the global dimensions. (Armonk: Sharpe. 1997) Wong, Kam C.. One country, two systems: cross-border crime between Hong Kong and China. (New Brunswick, N.J.: Transaction Publishers 2012). Zhao, Suisheng. Chinese foreign policy: pragmatism and strategic behavior. (Armonk: Sharpe 2003). Read More