Since this blog last checked in with Ye Jianming in 2013, the youthful Chairman and his $40 billion CEFC (Huaxin) oil trading, storage and finance conglomerate have gone from strength to strength. It now ranks as the world’s 229th largest company by revenue.
CEFC originally attracted my attention due to Dai Xu‘s South China Sea warmongering under a “CEFC Strategic Analyst” title between 2011 and 2013. The company hasn’t been associating itself with that kind of militarism of late (at least not publicly), but its mystique has only intensified as various new information has come to light.
Here’s a brief rundown of what’s emerged since 2013:
- Chairman Ye Jianming is not Lt-Gen Ye Xuanning’s son, nor Marshal Ye Jianying’s grandson. Far from being a princeling — my own and others’ best guess as to his background — he was born into a family of boatmen in the Fujian hinterland.
- However, just as a blood relationship was finally disconfirmed, Chairman Ye turns out to be business partners with Ye Xuanning’s daughter in an entity bearing the PLA’s famous Carrie (凯利) brand.
- The company’s oil trading business originates with assets confiscated from Fujian smuggling kingpin Lai Changxing, which it acquired in 2006. Chinese financial media reporting indicates that before becoming an oil baron, Ye made pots of gold by purchasing a state-owned piston factory, and wholesaling the industrial chemical PX.
- Evidence of Chairman Ye’s involvement in the PLA General Political Department Liaison Department’s (GPD-LD) CAIFC system has continued to accumulate. Yet the GPD-LD’s fortunes appear to have been falling almost as fast as Chairman Ye’s have been rising.
- There are signs the rise of Chairman Ye may be related to the rise of Chairman Xi — from Fujian via Shanghai, to Beijing, and out onto the Belt and Road. CEFC/Huaxin laid the groundwork for Xi’s triumphant state visit to the Czech Republic in March 2016, establishing a “key link” in his signature foreign policy initiative.
For those who find this all as irresistably intriguing as i do, these points are detailed below, followed by a selection of aphorisms from the expanding corpus of Ye Jianming’s Thought, and a brief personal disclaimer.
The PRC’s internet users frequently serve us with reminders of just how much scepticism we should have regarding the purported market imperatives of the Huanqiu Shibao (Global Times), published by the People’s Daily.
In February 2010, according to a Wiki-leaked cable written by Jon Huntsman, a Huanqiu Shibao editor told a political officer from the US embassy that their newspaper was “market-driven” and therefore had to “reflect public opinion in order to make money”.
The same day, a Beijing University academic told embassy staff that “the Global Times’ more ‘hawkish’ editorial slant [is] ‘consistent with the demands of the readers and normal for a market-driven newspaper.’ ”
This view seems to be shared by some liberal Chinese intellectuals, such as Michael Anti, who has been quoted as saying “its position is to make money — nationalism is Global Times’ positioning in the market”.
Susan Shirk, a highly influential US analyst of PRC foreign policy, even claims that Chinese officials somehow see the Huanqiu Shibao as representative of popular opinion, and that they read it to understand the population’s views on hot-button issues. At least, that is what Shirk’s sources in the Ministry of Foreign Affairs tell her, and she raises no questions as to this information’s veracity.
Other analysts, however, like those interviewed in this excellent Asia Sentinel article, suggest at least four different domestic and international purposes that Huanqiu may serve — none of them involving monetary profit:
Xinhua spreading rumours, unpopular military commentary, and a witchhunt: the Scarborough Shoal media wave Part III (May 11-13)Posted: May 21, 2012
I’m posting about stuff that happened more than a week ago, so i’ll start by apologizing to any readers who might have come here looking for up-to-date developments. To explain briefly, party-approved waves of media sensationalism, the Chinese public’s reaction to them, and the regime’s reactions to those public reactions, are crucial aspects of my research project, so my task is to document these in as much detail as i can. The PRC’s yearly South China Sea fishing ban, which started last week, has offered a much-needed circuit-breaker to ease the tensions, but even now that the wave has broken and rolled back, i still have a backlog of interesting conversations to discuss.
For those who mightn’t care to read all the way to the bottom to find out what might be buried down there, here’s a summary of what’s below:
- Xinhua was the immediate source of war-preparations rumours denied by Ministry of Defense
- PLA Daily’s piece on May 12 appears aimed at Dai Xu and his powerful pro-war backers in China
- Fenqing witchhunt unmasking the “organiser” of the global Filipino demonstrations, via Weibo, becomes dominant in mainstream discourse
UPDATE 6/10: Some interesting tidbits about Long Tao’s name 龙韬 here. Prof. June Dreyer points out that it refers to one of the Six Secret Teachings, which may make it a veiled call to cast aside officials who stand in the way of the suggested plan.
UPDATE 30/9: The Global Times has now posted an English version of Long Tao’s article. Possibly a response to the Japanese- Philippines “strategic partnership” and Japan’s further “wading” into the South China Sea dispute.
Tuesday’s Global Times carried an opinion piece titled ‘The present is a golden opportunity to use force in the South China Sea’. I thought the title would have just about said it all, and was therefore only going to offer some juicy excerpts, but as i read through it i found almost every sentence too good to leave out:
The internationalization of the South China Sea issue is perfectly clear, but it has not completely taken shape yet. The author believes now is a golden opportunity for China to coolly assess, grasp the opportunity, and take swift and definitive action.
At present every country is engaging in an arms race, procuring long-range maritime control weapons. Even Singapore, which is not part of the South China sea dispute, is preparing to introduce advanced stealth fighters. Australia and India’s military plans are in order to make world-class preparations, and Japan doesn’t want to be left behind either. America is energetically selling armaments with one hand and pouring petrol on the fire with the other, and at the same time is preparing to intervene militarily.
[. . .] One should not be afraid of small-scale wars, for they are a good way to release fighting potential. By fighting several small wars one can avoid a large war.
Speaking of war, we can look first at who should actually fear it. The South China Sea region has more than 1,000 oil and gas wells, but none of them belong to China. There are four airports in the Spratly Islands, but Mainland China does not have one. China has no other important economic installations. Leaving aside the issue of winning and losing, as soon as war commences the South China Sea will inevitably become a sea of fire. When those towering oil drilling platforms become flaming torches, who will be hurt the most? As soon as the fighting begins, all those Western oil and gas companies will inevitably withdraw, so who will lose the most? Read the rest of this entry »