Latest / Sharp China Podcast / Sharp China: The Arrest of Linda Sun; Overcapacity and Mounting Deflation Concerns; A New Role for Qin Gang; Rock Bottom for PRC Men's Soccer
Transcript
- 0:04SPEAKER_02: Hello and welcome to Sharp China.
- 0:06SPEAKER_02: I'm Andrew Sharp and you are listening to a free preview of today's episode.
- 0:12SPEAKER_00: Basically, according to the allegation or to the indictment, Ms.
- 0:15SPEAKER_00: Sun was, you know, working for...
- 0:18SPEAKER_00: She worked for the previous governor.
- 0:19SPEAKER_00: She was working for the current governor, Hochul, in various roles.
- 0:23SPEAKER_00: And then she had moved over, I think, to the Department of Labor.
- 0:25SPEAKER_00: And then she was fired last year after they seemed to have discovered something and
- 0:29SPEAKER_00: then reported to authorities last spring in 2023.
- 0:33SPEAKER_00: But effectively,
- 0:33SPEAKER_00: what the allegations are that she was communicating quite frequently with the PRC
- 0:38SPEAKER_00: consulate in New York,
- 0:39SPEAKER_00: including...
- 0:40SPEAKER_00: from what can be gleaned from the indictment,
- 0:42SPEAKER_00: they don't name him,
- 0:43SPEAKER_00: with the actual Consul General Huang Ping.
- 0:46SPEAKER_00: And she was effectively changing messaging or directing messaging about Taiwan and
- 0:51SPEAKER_00: not having the governor not attend certain events or attend certain events that the
- 0:56SPEAKER_00: consulate wanted the governor to attend and basically impart sort of the overall
- 1:01SPEAKER_00: kind of marginalizing Taiwan.
- 1:04SPEAKER_00: And then for that, she was given several gifts, stuff that
- 1:09SPEAKER_00: Didn't seem to be worth a lot of money directly,
- 1:11SPEAKER_00: but certainly were,
- 1:12SPEAKER_00: I think,
- 1:12SPEAKER_00: in violation of whatever ethics rules you would have working for the New York State government.
- 1:16SPEAKER_00: The one that got the most headlines was that the consul general's personal chef
- 1:21SPEAKER_00: prepared multiple dishes of Nanjing salted duck for her parents.
- 1:26SPEAKER_02: I like that that made it into the reporting alongside payoffs that included millions of dollars.
- 1:35SPEAKER_02: I'm glad you were highlighting the salted ducks.
- 1:37SPEAKER_00: And the bigger money flows, I mean, the husband had recently bought a Ferrari.
- 1:42SPEAKER_00: They lived in an expensive house that certainly wasn't affordable on the civil servant's salary.
- 1:46SPEAKER_00: But he had several businesses, like export businesses.
- 1:49SPEAKER_00: And the allegation,
- 1:50SPEAKER_00: the indictment basically says that a bunch of business was steered to his companies
- 1:55SPEAKER_00: because of her and the relationship she had set up and the way that the consulate
- 1:59SPEAKER_00: was and other people.
- 2:02SPEAKER_00: Organizations connected to the United Front were effectively trying to curry favor, exercise influence.
- 2:08SPEAKER_00: And then I think then on the flip side of that,
- 2:11SPEAKER_00: her husband was then getting business contracts steered to his.
- 2:14SPEAKER_00: I think one of the things he was doing was exporting lobsters to the PRC.
- 2:18SPEAKER_00: She's also accused of visa fraud because she procured fake invitation letters for delegation from Qanon.
- 2:25SPEAKER_00: And, you know, you basically when you submit your visa application to the U.S.
- 2:29SPEAKER_00: consulate or embassy, you know, you want to have an invitation letter.
- 2:32SPEAKER_00: And if you're a government official saying,
- 2:34SPEAKER_00: I'm inviting these people and you've actually forged a signature,
- 2:36SPEAKER_00: I mean,
- 2:37SPEAKER_00: that is a felony.
- 2:38SPEAKER_00: So is this United Front work?
- 2:40SPEAKER_02: Is this essentially what the United Front is engaged in?
- 2:44SPEAKER_02: Like what part of the PRC government would manage operations?
- 2:48SPEAKER_00: So I think there are multiple things going on.
- 2:50SPEAKER_00: One, you just have the consulate doing its job.
- 2:51SPEAKER_00: You have diplomats at the New York consulate who are pushing.
- 2:54SPEAKER_00: They have an agenda about Taiwan.
- 2:56SPEAKER_00: They found somebody in the New York government who they could work with on
- 3:02SPEAKER_00: furthering their goals towards how they effectively marginalize Taiwan.
- 3:06SPEAKER_00: So that's Ministry of Foreign Affairs.
- 3:07SPEAKER_01: Right.
- 3:07SPEAKER_00: Then you also had,
- 3:08SPEAKER_00: though,
- 3:09SPEAKER_00: from the indictment,
- 3:10SPEAKER_00: you know,
- 3:10SPEAKER_00: these sort of overseas Chinese group,
- 3:12SPEAKER_00: these other entities that look like they're connected to the United Front that were
- 3:16SPEAKER_00: then working with the husband.
- 3:17SPEAKER_00: And, you know, she was invited to some events in China that were part of the overseas Chinese work.
- 3:22SPEAKER_00: But then he was also then given this.
- 3:23SPEAKER_00: So it looks like,
- 3:25SPEAKER_00: you know,
- 3:25SPEAKER_00: there's sort of multiple pieces going on here that are all part of a broader
- 3:29SPEAKER_00: campaign to.
- 3:31SPEAKER_00: Right.
- 3:32SPEAKER_00: effectively have a friend in the New York State government and use that as an entry
- 3:37SPEAKER_00: point to further their agendas?
- 3:40SPEAKER_02: Yeah,
- 3:40SPEAKER_02: well,
- 3:40SPEAKER_02: and if she was covertly working on behalf of the CCP and its agenda,
- 3:46SPEAKER_02: which is only an allegation,
- 3:47SPEAKER_02: but I would say that she and her benefactors were pretty bad at the covert aspect
- 3:54SPEAKER_02: of that.
- 3:54SPEAKER_00: Well,
- 3:55SPEAKER_00: I mean,
- 3:56SPEAKER_00: part of it is certainly if you're regularly communicating with,
- 3:58SPEAKER_00: say,
- 3:58SPEAKER_00: the consul general and you're using email or other electronic devices,
- 4:02SPEAKER_00: I think it's pretty likely that the consul general is someone who would be the
- 4:06SPEAKER_00: subject of surveillance by,
- 4:07SPEAKER_00: say,
- 4:08SPEAKER_00: the FBI.
- 4:09SPEAKER_02: Well, yeah, and she was front and center at anti-Taiwan rallies.
- 4:13SPEAKER_02: She attended that big banquet for the 70th anniversary of the CCP at the Great Hall.
- 4:19SPEAKER_02: I mean,
- 4:19SPEAKER_02: and she was apparently pretty flashy with displays of wealth that were uncommon for
- 4:24SPEAKER_00: a state government employee.
- 4:25SPEAKER_00: And the thing is, you know, attending rallies in the U.S., I mean...
- 4:29SPEAKER_00: free speech, freedom to protest.
- 4:32SPEAKER_00: That on its face is not a violation of the law.
- 4:34SPEAKER_00: The issue comes down to, are you doing things in exchange for benefits?
- 4:39SPEAKER_00: Well, that's what I mean.
- 4:40SPEAKER_02: I wouldn't attend a rally if I were engaged in illicit behavior and working on behalf of foreign actors.
- 4:48SPEAKER_00: And are you doing things in your government job where they're giving you certain
- 4:53SPEAKER_00: benefits that you're not declaring?
- 4:54SPEAKER_00: I mean, that's a pretty cut and dry problem if you get...
- 4:58SPEAKER_00: items of value in exchange for stuff you do, and then you don't declare that.
- 5:01SPEAKER_00: I mean,
- 5:01SPEAKER_00: that is,
- 5:01SPEAKER_00: you know,
- 5:02SPEAKER_00: I think it's,
- 5:03SPEAKER_00: if that's really what's happened,
- 5:04SPEAKER_00: it's hard to argue that this is,
- 5:05SPEAKER_00: oh,
- 5:06SPEAKER_00: that's somehow innocent.
- 5:07SPEAKER_00: Now,
- 5:07SPEAKER_00: you know,
- 5:07SPEAKER_00: you certainly have voices saying,
- 5:09SPEAKER_00: well,
- 5:09SPEAKER_00: she's only targeted because she's Chinese,
- 5:10SPEAKER_00: because it's part of,
- 5:12SPEAKER_00: you know,
- 5:12SPEAKER_00: sonophobia.
- 5:13SPEAKER_00: I would just say that I think that the US government for several years has been
- 5:18SPEAKER_00: talking about how the PRC tries to leverage subnational relations at the governor's level,
- 5:24SPEAKER_00: the mayor's level to further its agenda.
- 5:28SPEAKER_00: And again, that is what all governments try to do here.
- 5:31SPEAKER_00: I mean, plenty of other allied countries do that, right?
- 5:33SPEAKER_00: But again,
- 5:35SPEAKER_00: it's different when you start sort of seeing sort of surreptitious or illicit
- 5:39SPEAKER_00: exchanges of alleged illicit exchanges of value for actions that further the PRC's agenda.
- 5:46SPEAKER_00: One of the things,
- 5:47SPEAKER_00: though,
- 5:47SPEAKER_00: that also you've got in New York State in particular,
- 5:50SPEAKER_00: you've also got the New York City mayor.
- 5:53SPEAKER_00: There's a bunch of investigations around him.
- 5:55SPEAKER_00: The New York Times actually said there are four different investigations.
- 5:59SPEAKER_00: One involves Turkey.
- 6:00SPEAKER_00: There's other types of corruption.
- 6:02SPEAKER_00: One apparently involves his chief liaison to the Chinese-American community in New York.
- 6:09SPEAKER_00: So there's a lot of stuff moving around here.
- 6:11SPEAKER_02: Never a dull moment with good old Eric Adams.
- 6:15SPEAKER_00: And New York makes sense though, right?
- 6:16SPEAKER_00: Because New York has especially like Flushing's,
- 6:18SPEAKER_00: Queens,
- 6:18SPEAKER_00: they have a very,
- 6:19SPEAKER_00: very large population of Chinese and Chinese Americans.
- 6:21SPEAKER_00: And so on the one hand,
- 6:23SPEAKER_00: you're a New York politician and you're either representing the state or those districts,
- 6:27SPEAKER_00: those are your consistencies.
- 6:28SPEAKER_00: So you have to deal with that constituency.
- 6:31SPEAKER_00: On the other hand,
- 6:32SPEAKER_00: I think you have to be careful about understanding who you're dealing with,
- 6:36SPEAKER_00: what are these organizations?
- 6:38SPEAKER_00: And frankly, I think one of the challenges that comes up is
- 6:41SPEAKER_00: Who is staffing these people?
- 6:42SPEAKER_00: Who are the community liaisons who maybe are joining campaigns or trying to join these administrations?
- 6:49SPEAKER_00: And they see the ability to get other benefits because,
- 6:52SPEAKER_00: you know,
- 6:52SPEAKER_00: because of example,
- 6:53SPEAKER_00: what we see with Linda Sun.
- 6:54SPEAKER_00: And so it's a very, very difficult problem.
- 6:57SPEAKER_00: The fact is, is that U.S.
- 6:59SPEAKER_00: government and media and the investigators have to be really careful to paint this
- 7:04SPEAKER_00: with a much broader brush and say,
- 7:06SPEAKER_00: like,
- 7:06SPEAKER_00: you know,
- 7:07SPEAKER_00: it's a problem everywhere.
- 7:08SPEAKER_00: I think it's a very, very individualized problem.
- 7:10SPEAKER_00: It's something that, you know, the U.S.
- 7:12SPEAKER_00: government has been briefing and we can link to this.
- 7:15SPEAKER_00: I think there's a briefing from the director of national intelligence that sort of
- 7:19SPEAKER_00: talks about subnational efforts by the Chinese.
- 7:22SPEAKER_00: I mean, these are these should be known issues by local governments and local government officials.
- 7:26SPEAKER_00: And so it is, I think, quite surprising.
- 7:29SPEAKER_00: It's not surprising they're trying to do this,
- 7:31SPEAKER_00: but it will be surprising if more local officials aren't aware of what's going on a
- 7:35SPEAKER_00: little bit more careful in sort of how they,
- 7:38SPEAKER_00: you know,
- 7:39SPEAKER_00: for example,
- 7:39SPEAKER_00: you know,
- 7:40SPEAKER_00: local officials probably shouldn't be appearing as like honorary chairperson of a
- 7:44SPEAKER_00: organization that,
- 7:45SPEAKER_00: for example,
- 7:45SPEAKER_00: is pretty obviously tied to the United Front.
- 7:47SPEAKER_02: Yeah, well, and it's a difficult problem.
- 7:52SPEAKER_02: I mean,
- 7:52SPEAKER_02: my honest reaction in the moment when I started reading this news after we finished
- 7:57SPEAKER_02: recording last week was,
- 7:59SPEAKER_02: this isn't surprising.
- 8:02SPEAKER_02: There was a spate of similar stories coming out of Canada last year, for example.
- 8:08SPEAKER_02: The PRC has been pretty active in lots of different countries.
- 8:14SPEAKER_00: This is the playbook.
- 8:15SPEAKER_02: But all this behavior on the PRC's part just invites an environment of paranoia in
- 8:20SPEAKER_02: the United States that can feel very un-American sometimes,
- 8:24SPEAKER_02: but is also maybe unavoidable if China is going to aggressively cultivate sources
- 8:30SPEAKER_02: throughout private and public life.
- 8:33SPEAKER_00: And it's all very depressing.
- 8:35SPEAKER_00: No, it is very depressing and it's very difficult.
- 8:37SPEAKER_00: And one of the problems is that,
- 8:38SPEAKER_00: you know,
- 8:38SPEAKER_00: on the PRC government side,
- 8:39SPEAKER_00: I think in some ways they see benefit from creating this kind of paranoia because
- 8:43SPEAKER_00: it's it ties into this message of,
- 8:45SPEAKER_00: you know,
- 8:45SPEAKER_00: sort of the motherland will help you.
- 8:47SPEAKER_02: I mean, it's like it undermines Western values.
- 8:50SPEAKER_00: Right.
- 8:51SPEAKER_00: And so it's a really, really hard problem.
- 8:54SPEAKER_00: And so that's why, again, the indictment is pretty damning.
- 8:59SPEAKER_00: It is an indictment.
- 9:01SPEAKER_00: Linda's son and her husband are innocent until proven guilty.
- 9:03SPEAKER_00: If the FBI,
- 9:06SPEAKER_00: if the Department of Justice,
- 9:07SPEAKER_00: they're going to charge people like this and make a big public deal about it,
- 9:11SPEAKER_00: I really hope they have the case nailed.
- 9:12SPEAKER_00: Because we saw under the China initiative, there were a bunch of many...
- 9:18SPEAKER_00: Several professors whose careers were basically destroyed after allegations or
- 9:23SPEAKER_00: indictments has then turned out to basically be BS.
- 9:25SPEAKER_00: Yeah.
- 9:26SPEAKER_00: Well,
- 9:27SPEAKER_00: so these are these are this is a really hard problem,
- 9:31SPEAKER_00: but it's also the height of naivete to say,
- 9:34SPEAKER_00: oh,
- 9:34SPEAKER_00: we can't do anything because.
- 9:36SPEAKER_00: It's too paranoid because the Chinese government is actively trying to find these
- 9:40SPEAKER_00: points to influence the U.S.
- 9:42SPEAKER_00: system at multiple levels.
- 9:43SPEAKER_02: Yeah.
- 9:44SPEAKER_02: No, I mean, that's a fact.
- 9:46SPEAKER_02: A story like this is a reminder that the scale of PRC influence efforts is really
- 9:52SPEAKER_02: difficult for normal Americans to even appreciate,
- 9:55SPEAKER_02: whether it's happening in corporate America or at the state government level or in
- 10:00SPEAKER_02: the lobbying sphere.
- 10:02SPEAKER_02: Like the efforts are pretty comprehensive and it's
- 10:04SPEAKER_02: almost more difficult to focus on a response because it feels like a never-ending
- 10:10SPEAKER_02: game of whack-a-mole where there's a different story every week.
- 10:13SPEAKER_02: And so it's a difficult problem to solve.
- 10:17SPEAKER_02: It's like that old saying about an elephant where you can't actually see an
- 10:21SPEAKER_02: elephant if you're standing too close to it.
- 10:22SPEAKER_02: You'll just see different parts.
- 10:24SPEAKER_02: And this is a story that sort of prompts a step back and it's like, wow.
- 10:28SPEAKER_02: And I mean,
- 10:28SPEAKER_02: in terms of the subnational influence efforts,
- 10:32SPEAKER_02: strategically speaking,
- 10:34SPEAKER_02: what do the PRC leaders think that achieves?
- 10:38SPEAKER_02: Like what's the logic there?
- 10:40SPEAKER_00: Well,
- 10:40SPEAKER_00: I mean,
- 10:41SPEAKER_00: in this case,
- 10:42SPEAKER_00: I mean,
- 10:42SPEAKER_00: part of it is,
- 10:43SPEAKER_00: you know,
- 10:44SPEAKER_00: you want to try and block any sort of bills or actions that would harm PRC interests.
- 10:48SPEAKER_00: In this case,
- 10:49SPEAKER_00: it sounds like most or all of the allegations were really related to Taiwan and
- 10:53SPEAKER_00: making sure,
- 10:54SPEAKER_00: like,
- 10:54SPEAKER_00: the governor didn't attend events related to Taiwan.
- 10:57SPEAKER_00: You know,
- 10:58SPEAKER_00: one thing that will be interesting,
- 10:59SPEAKER_00: right,
- 10:59SPEAKER_00: because we are now coming up,
- 11:01SPEAKER_00: we're recording on September 10th.
- 11:03SPEAKER_00: October 1st is the 75th anniversary of the founding of the PRC.
- 11:07SPEAKER_00: So there'll be some big celebrations.
- 11:10SPEAKER_00: I just got invited to the PRC embassy celebration here in D.C.
- 11:13SPEAKER_00: Thank you very much.
- 11:14SPEAKER_00: I can't attend.
- 11:16SPEAKER_00: We can be out of town.
- 11:17SPEAKER_00: But then the Taiwan Republic of China National Day is double 10, October 10th.
- 11:22SPEAKER_00: And so one of these I think you might see is the Taiwan diplomats,
- 11:26SPEAKER_00: you know,
- 11:26SPEAKER_00: the quote unquote diplomats here in the U.S.
- 11:29SPEAKER_00: at their various rep offices around the country.
- 11:31SPEAKER_00: You know,
- 11:32SPEAKER_00: this is an opportunity for them for them to very aggressively invite local leaders
- 11:35SPEAKER_00: and governors and mayors to their celebrations.
- 11:38SPEAKER_00: And then if any,
- 11:41SPEAKER_00: they don't show up,
- 11:42SPEAKER_00: I'm sure they can find friends in the media and say,
- 11:44SPEAKER_00: well,
- 11:44SPEAKER_00: gee,
- 11:44SPEAKER_00: so-and-so didn't show up.
- 11:45SPEAKER_00: I wonder why.
- 11:46SPEAKER_00: Right.
- 11:47SPEAKER_00: And so in some ways,
- 11:48SPEAKER_00: this kind of,
- 11:49SPEAKER_00: you know,
- 11:49SPEAKER_00: the Taiwan,
- 11:50SPEAKER_00: I wouldn't be surprised if you see the Taiwan side use this at least to their sort
- 11:54SPEAKER_00: of PR advantage in the next month.
- 11:56SPEAKER_00: And honestly, it's true.
- 11:57SPEAKER_00: Taiwan is an important part of the U.S.
- 12:00SPEAKER_00: It's one of America's biggest trade partners.
- 12:03SPEAKER_00: It's obviously got technological ties.
- 12:05SPEAKER_00: There's a large Taiwanese-American community in the U.S.
- 12:08SPEAKER_00: I mean, it is an important constituency in a lot of states and cities.
- 12:12SPEAKER_00: You look at California, you look at Seattle, New York.
- 12:14SPEAKER_00: I mean, it matters.
- 12:15SPEAKER_00: Yeah.
- 12:16SPEAKER_00: It is it is kind of kind of ridiculous that someone would attend a like a mayor or
- 12:21SPEAKER_00: governor would attend a PRC Day National Day celebration,
- 12:23SPEAKER_00: but then refuse to go to,
- 12:24SPEAKER_00: say,
- 12:25SPEAKER_00: for example,
- 12:25SPEAKER_00: Taiwan National Day celebration if they were invited.
- 12:28SPEAKER_02: Well said.
- 12:29SPEAKER_02: And I agree.
- 12:30SPEAKER_02: The other question that I have coming out of this is what sort of options does the U.S.
- 12:35SPEAKER_02: government have to respond to a specific incident like this?
- 12:40SPEAKER_02: Like in this case, there was talk of expelling the Chinese consul general in New York.
- 12:45SPEAKER_02: and then there was talk from the State Department that the Chinese consul general
- 12:51SPEAKER_02: had left that post and hadn't been expelled.
- 12:54SPEAKER_02: Kathy Hochul had said she had requested that the Chinese consul general be expelled.
- 12:59SPEAKER_02: Where do things stand on that front, and what other options does the government have, the U.S.
- 13:04SPEAKER_02: government, to respond?
- 13:06SPEAKER_00: Well, expelling a consul general is a pretty significant move diplomatically, and that would invite...
- 13:12SPEAKER_00: Retribution.
- 13:14SPEAKER_00: A reciprocal response,
- 13:15SPEAKER_00: I think,
- 13:15SPEAKER_00: from the PRC or any other government whose consulate general you expelled.
- 13:19SPEAKER_00: And I think at this point,
- 13:21SPEAKER_00: you know,
- 13:22SPEAKER_00: one,
- 13:22SPEAKER_00: I just I don't think it's something the Biden administration wants to have to deal
- 13:26SPEAKER_00: with right now.
- 13:28SPEAKER_00: You know, whether or not what is alleged in the indictment, you know, the sort of.
- 13:32SPEAKER_00: what the consul general was doing,
- 13:34SPEAKER_00: whether or not that even rises to the level of expulsion versus he's just doing his
- 13:38SPEAKER_00: job and he found somebody who was willing to help him do it in the New York state government.
- 13:43SPEAKER_00: You know, I don't know.
- 13:44SPEAKER_00: I think what's kind of interesting,
- 13:45SPEAKER_00: though,
- 13:46SPEAKER_00: is how there's this muddled messaging where the New York governor said she talked
- 13:50SPEAKER_00: to some of the State Department said,
- 13:51SPEAKER_00: yeah,
- 13:51SPEAKER_00: they'll expel him.
- 13:52SPEAKER_00: The State Department spokesman then came out and corrected said, no, no, he's termed out in August.
- 13:56SPEAKER_00: He's, you know, he's going home.
- 13:58SPEAKER_00: And yet he's still in his post.
- 13:59SPEAKER_00: I'm looking,
- 14:00SPEAKER_00: you know,
- 14:00SPEAKER_00: as of the night of the September 6th,
- 14:03SPEAKER_00: he was speaking at a China Institute gala in New York.
- 14:06SPEAKER_00: Still in Manhattan.
- 14:07SPEAKER_00: OK, we still it's still Manhattan.
- 14:09SPEAKER_00: He's still being identified as the consul general on the consul general of the PRCs
- 14:13SPEAKER_00: in New York's website.
- 14:14SPEAKER_00: So it's not clear what really is going on.
- 14:18SPEAKER_00: The last time, you know, in the Trump administration, I think it was in 2000.
- 14:24SPEAKER_00: I think it was 2020.
- 14:25SPEAKER_00: Maybe it was 2019.
- 14:26SPEAKER_00: The US closed the Houston consulate.
- 14:28SPEAKER_00: And then in response, the PRC closed... Was it the Chengdu consulate?
- 14:34SPEAKER_00: Correct me if I'm wrong.
- 14:36SPEAKER_00: I should know this.
- 14:37SPEAKER_00: My brain is a little scattered.
- 14:39SPEAKER_00: What's interesting is the consul general of the Houston consulate,
- 14:43SPEAKER_00: when it was closed,
- 14:45SPEAKER_00: a gentleman named Tai Wei,
- 14:46SPEAKER_00: he is now the lead at the Ministry of Foreign Affairs,
- 14:50SPEAKER_00: the lead person for contact with the US diplomats.
- 14:53SPEAKER_00: Perfect.
- 14:55SPEAKER_01: A friendly face.
- 14:56SPEAKER_01: Oh, that's great.
- 14:57SPEAKER_01: Yeah, yeah, yeah.
- 14:58SPEAKER_01: No demotion for the Houston Consulate.
- 15:02SPEAKER_02: All right.
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