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President Trump hosted Chinese President Xi Jinping last week at Mar-a-Lago for their first meeting which set out to address economic, trade and security challenges shared between the two countries. Shorenstein Asia-Pacific Research Center (APARC) experts offered analysis of the summit to various media outlets.

In advance of the summit, Donald K. Emmerson, an FSI senior fellow emeritus and director of the Southeast Asia Program, wrote a commentary piece urging the two leaders to prioritize the territorial disputes in the South China Sea in their discussions. He also suggested they consider the idea of additional “cooperative missions” among China, the United States and other countries in that maritime area.

“A consensus to discuss the idea at that summit may be unreachable,” Emmerson recognized in The Diplomat Magazine. “But merely proposing it should trigger some reactions, pro or con. The airing of the idea would at least incentivize attention to the need for joint activities based on international law and discourage complacency in the face of unilateral coercion in violation of international law.”

Kathleen Stephens, the William J. Perry Fellow in Shorenstein APARC’s Korea Program, spoke to the Boston Herald about U.S. policy toward North Korea and a potential role for China in pressuring North Korea to hold talks about denuclearization. She addressed the purported reports that the National Security Council is considering as options placing nuclear weapons in South Korea and forcibly removing North Korean leader Kim Jong-un from power.

“The two options have been on the long list of possible options for a long time and they have generally been found to have far too many downsides,” Stephens said in the interview.

Writing for Tokyo Business TodayDaniel Sneider, the associate director for research at Shorenstein APARC, offered an assessment of the summit. He argued that two events - the U.S. airstrike on an airbase in Syria following the regime's chemical weapons attack and the leaked reports about tensions between White House staff - shifted the summit agenda and sidelined, at least for now, talk of a trade war between China and the United States.

“Instead of a bang, the Mar-a-Lago summit ended with a whimper,” Sneider wrote in the analysis piece (available in English and Japanese). “On the economy, the summit conversation was remarkably business-as-usual, with President Trump calling for China to ‘level the playing field’ and a vague commitment to speed up the pace of trade talks. When it came to North Korea…the two leaders reiterated long-standing goals of denuclearization but ‘there was no kind of a package arrangement discussed to resolve this.”

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U.S. Secretary of State Rex Tillerson talks with Chinese President Xi Jinping upon his arrival on April 6, 2017, to West Palm Beach, Florida.
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The Association for Southeast Asian Nations (ASEAN), a coalition of 10 Southeast Asian countries formed to promote regional development and security, will mark its 50th anniversary this year. While ASEAN’s longevity is a cause for celebration, it also calls for creative introspection regarding what it can and should do, according to Southeast Asia Program Director Donald K. Emmerson.

“There is a lot that ASEAN cannot do in its present form, under its present leaders, and in presently China-challenged conditions. Yet no one could objectively scan ASEAN’s first fifty years and conclude that the organization has remained the same – once a cow, always a cow.

“Whatever ASEAN does become, its alternative futures should be considered now, carefully and creatively, while there is still time to prefer one scenario over the others and to follow up with steps that make it more likely,” he writes in a paper featured in the February edition of TRaNS: Trans-Regional and -National Studies of Southeast Asia.

ASEAN, he says, needs to reexamine its goals and consider new means to achieve them, to brainstorm better ways of protecting its region from external control, and to reevaluate the nature and efficacy of the “ASEAN Way,” including its self-paralyzing commitment to unanimity as a precondition for collective action.

That commitment has already been breached for economic policy arrangements that allow a “two-speed ASEAN” to exist, where for less developed members, deadlines for economic reform are postponed, while for all other members, the deadlines remain unchanged. So, why not adapt that idea to regional security initiatives as well?

According to Emmerson, the Southeast Asia region is being threatened by China’s efforts to control land features in the South China Sea for the purposes of projecting coercive power. China uses the ASEAN Way’s requirement of consensus by promising economic support to specific ASEAN members in hopes of coopting them into vetoing any move by ASEAN to counter China’s campaign in the South China Sea.

Abetting China’s expansion, he says, are the rival claims to maritime sovereignty by some of ASEAN’s own members. Their failure to settle their own disagreements precludes the bargaining power that a unified ASEAN might bring to the table in talks with China.

Emmerson, who addressed these matters at Stanford in March, argues that a more innovative ASEAN will lead to a more secure region.

Regarding the South China Sea, for example, ASEAN could encourage an effort by its four claimant members to settle their own differences first by drafting an ASEAN agreement, signing it and presenting it to China to sign as well. Even if China refuses, at least ASEAN would have established a common position among the ASEAN countries most directly concerned.

In the paper, he discusses several ways of restructuring ASEAN. They include:

  • ASEAN minus X: A subset of ASEAN members would move ahead on economic or security arrangements with the understanding that the remaining subset would join later.
  • ASEAN Pacific Alliance: ASEAN would work with Chile, Colombia, Mexico and Peru to create a coalition that would strengthen ASEAN’s trans-Pacific ties.
  • East Asia Summit (EAS): ASEAN would try to elevate this annual gathering of leaders, including China and the United States, into a capstone venue for cooperation on regional security.

Emmerson also urges outside observers to generate innovative policy proposals related to ASEAN and present them for discussion informally or in Track II dialogue formats.

“It’s time for ASEAN watchers to generate ideas for the grouping to consider, including initiatives that could be pursued by one, two or more member countries,” he said in a later interview. “The creative involvement of scholars, journalists, businesspeople and other analysts inside member states could socialize such proposals in local policy circles to make them better known and more feasible.”

In line with this vision, Emmerson is co-organizing a trilateral workshop on ASEAN reform, regional security, infrastructure building and economic regionalism. Hosted by the Shorenstein Asia-Pacific Research Center (APARC) and planned for this fall, it will evaluate proposals on these topics generated or compiled by Shorenstein APARC’s Southeast Asia Program and U.S.-Asia Security Initiative; the S. Rajaratnam School of International Studies in Singapore; and the Strategic and Defense Studies Centre in Canberra. Details about the conference will be posted in the coming months.

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china uscapital reuters A Chinese flag and American flag fly on a lamp post along Pennsylvania Avenue near the U.S. Capitol in Washington during Chinese President Hu Jintao's state visit, January 18, 2011.
The Thucydides Trap is real. Whether China’s rising power leads to conflict or cooperation is up to us. Whether the gears of our two nations grind or mesh depends on the effort and creativity we put into the endeavor. The question is how to avoid the trap. American diplomacy with China is dated. U.S exceptionalism and sense of superiority sometimes undermines our good intentions. U.S.’ views tend to be short term, unfocused, and pre-occupied with ad hoc developments elsewhere in the world. The U.S. government needs a much better long-term framework or strategy that deals with the China reality. So far, the U.S. and China have avoided major controversy. However, as China continues to grow and establish itself as a dominant world power, the U.S. must be more creative and willing to take increasingly thoughtful and considered risks.

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Max Sieben Baucus is the former U.S. Ambassador to the People's Republic of China (2014-2017) and a former U.S. Senator from Montana (1978-2014). On January 7, 2014 U.S. President Barack Obama nominated Max Sieben Baucus to be Ambassador of the United States of America to the People's Republic of China. He served as Ambassador from February 21, 2014 until January 19, 2017.  Ambassador Baucus formerly served as the senior United States Senator from Montana from 1978 to 2014 and was Montana’s longest serving U.S. Senator as well as the third longest tenure among those serving in the U.S. Senate. Senator Baucus was Chairman and Ranking Member of the Senate Committee on Finance, Vice Chairman of the joint Committee on Taxation, member of the Senate Committee on Agriculture, Nutrition and Forestry, and a member of the Joint Select Committee on Deficit Reduction (Super committee). Before his election to the U.S. Senate, he represented Montana in the U.S. House of Representatives from 1975 to 1978. Ambassador Baucus has extensive experience in international trade. As Chairman of the Senate Committee on Finance, he led the passage and enactment of the Free Trade Agreements with 11 countries: Australia, Bahrain, Jordan, Chile, Colombia, Morocco, Oman, Panama, Peru, Singapore and South Korea. He also was deeply involved in orchestrating the congressional approval of permanent normal trade relations with China in 2000 and in facilitating China’s entrance into the World Trade Organization in 2001. Ambassador Baucus was also the chief architect of the Affordable Health Care Act (ACA), which was signed into law on March 23, 2009. Ambassador Baucus earned a bachelor’s and law degree from Stanford University. He is married to Melodee Hanes and they have three children and one granddaughter.


The Oksenberg Lecture, held annually, honors the legacy of Professor Michel Oksenberg (1938–2001). A senior fellow at Shorenstein APARC and the Freeman Spogli Institute for International Studies, Professor Oksenberg served as a key member of the National Security Council when the United States normalized relations with China, and consistently urged that the United States engage with Asia in a more considered manner. In tribute, the Oksenberg Lecture recognizes distinguished individuals who have helped to advance understanding between the United States and the nations of the Asia-Pacific.

At times beginning in 2009 the decision was made to expand this series from its original lecture format to a workshop in order to bring scholars and policy makers together to discuss the ever-changing role China is playing in today's world. This new format allows for the exchange of ideas and opinions amongst today's top experts.

For directions to the Black Community Services Center, please click here.

 

Black Community Services Center

418 Santa Teresa Street

Stanford, CA 94305

Max Baucus <i>U.S. Ambassador to the People's Republic of China (2014-2017), U.S. Senator Montana (1978-2014) </i>
Michael H. Armacost <i>Former U.S. Ambassador to Japan and the Philippines, Shorenstein APARC Fellow, Stanford University</i>
Kathleen Stephens <i>Former U.S. Ambassador to the Republic of Korea; William J. Perry Fellow, Shorenstein APARC, Stanford University</i>
Daniel R. Russel <i>Former U.S. Assistant Secretary of State for East Asian and Pacific Affairs, Diplomat in Residence and Senior Fellow, Asia Society Policy Institute</i>
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The China Program at Shorenstein APARC is celebrating its Tenth Anniversary with a conference on "China's Possible Futures."

 

Many perceive China as arriving at a critical juncture in its political, economic and social maturation. It strives to avoid the “middle income trap,” retain its one-party rule, and preempt social instability. While the past can never predict the future, the China Program will gather together renowned scholars, thought leaders, and policymakers to take stock of where China is now, evaluate its remarkable successes, and consider likely scenarios as it enters another crucial transition point in its social, economic and political maturation. What assumptions might still hold, what strategies may still work, which are no longer viable, and what new factors must be regarded in considering China’s potential “futures”? The conference will explore four sub-themes: (1) China’s economic future; (2) political future; (3) China’s international relations and global economic engagements; and (4) China’s future as seen in comparative perspective. 

 

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Please note that our anniversary conference will launch on May 11 with our annual Oksenberg Conference/Lecture. In this time of great political uncertainty in both the U.S. and in China, former Ambassador Max Baucus will give the keynote address followed by a panel discussion on U.S.-China relations. You may RSVP for the Oksenberg Lecture here.


Agenda

Panel I: China’s Economic Future ~9:00 AM -10:45 AM

Chair: Andrew Walder (Stanford University)

  • Barry Naughton (U.C. San Deigo)

  • Karen Eggleston (Stanford Univerity)

  • Hongbin Li (Stanford University)

  • Mary Gallagher (University of Michigan) 

 

Panel II: China’s Political Future ~11:00 AM - 12:30 PM

Chair: Thomas Fingar (Stanford University)

  • Alice Miller (Stanford University)

  • Andrew Wedeman (Georgia State University)

  • Jean Oi (Stanford University)

  • Xueguang Zhou (Stanford University)                                                                                           

 

Panel III: China's International Relations and Global Economic Engagements ~1:45 PM - 3:15 PM

Chair: Karl Eikenberry (Stanford University)

  • Thomas Fingar (Stanford University)

  • M. Taylor Fravel (MIT)

  • Ho-Fung Hung (John Hopkins University)

  • David M. Lampton (John Hopkins University)

 

Panel IV: China’s Future: A Comparative Perspective ~3:30 PM - 5:00 PM

Chair: Kathryn Stoner (Stanford University)

  • Amb. Max Baucus

  • Takeo Hoshi (Stanford University)

  • Gi-Wook Shin (Stanford University)

  • Andrew Walder (Stanford University)                 

 

 

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Admiral Harry B. Harris, Jr., commander of U.S. Pacific Command (USPACOM), visited the Shorenstein Asia-Pacific Research Center last Friday. Throughout the day, he met with faculty, fellows and students and delivered a keynote speech to the broader Stanford community.
 
In his remarks titled Deterring Revisionist Powers, Harris described how the Indo-Asia-Pacific region fits in the context of the “global operating system,” a term used to illustrate the norms and standards that have defined the international system since the end of World War II. Harris also explained how USPACOM is ensuring continued international access to the shared domains of the Indo-Asia-Pacific, which include use of the air, sea and cyber domains.
 
Harris also led discussions on the strategic environment and security challenges that the United States faces. He engaged in an exchange with various audience members on current security dilemmas such as North Korea’s nuclear program, the South China Sea, and the state of U.S. alliances and partnerships in the Indo-Asia-Pacific region.
 
The Chatham House Rule applied to Harris’ public presentation, and his subsequent meetings were closed to the public and news media.
 
Harris was later featured at a meeting held at the Highly Immersive Classroom at the Graduate School of Business. Faculty and students at Stanford conversed by way of video teleconference with affiliates at Stanford Center at Peking University (SCPKU), Beijing. U.S.-Asia Security Initiative Director Karl Eikenberry and SCPKU Executive Director Josh Cheng moderated the dialogue.
 
Admiral Harris’ visit to Stanford was co-sponsored by Ambassador Eikenberry and Admiral Gary Roughead, Robert and Marion Oster Distinguished Military Fellow at the Hoover Institution.
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Admiral Harry B. Harris, Jr., commander of U.S. Pacific Command, delivers remarks titled "Deterring Revisionist Powers" at the Bechtel Conference Center, March 3, 2017.
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In an op-ed for The Diplomat, Stanford assistant professor Phillip Y. Lipscy says the Trump presidency offers Japanese Prime Minister Shinzo Abe an opportunity to realize his vision of a more prominent Japan, yet the depth of the bilateral relationship and ability to deliver hinge on how much the two leaders can compromise on economic and security interests.

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Admirers of the Association of Southeast Asian Nations (ASEAN) are impressed with the fact that it continues to exist and that an outright war has never broken out between its members. Also often praised is the value to the region of promoting cooperation through the consensual process known as the ‘ASEAN Way’. If ASEAN is a talk shop, these observers say, talking is at least better than fighting. ASEAN's increasingly numerous and vocal critics reply that by valuing process more than product, consensus over accomplishment, the organization is failing to respond to urgent real-world challenges in Asia. Not least among such challenges is Chinese expansion in the South China Sea (SCS) and the stated intention of incoming US president Donald Trump to pull his country out of the Trans-Pacific Partnership (TPP). Only four ASEAN members have claims in the SCS and only four are in the TPP, but the sea's and the treaty's futures matter for the rest of the region as well. The fact of Chinese advancement and the risk of American disengagement are endangering the autonomy and relevance of ASEAN, not to mention the repercussions of Sino-American escalation. Already weakened by internal dissensus, the group's ability to negotiate as a group with China on maritime security has been blocked by Beijing's insistence on bilateral talks. Chinese material largesse has coopted Cambodia into vetoing any ASEAN agreement to restrain, moderate, or even question China's designs on the heartwater of Southeast Asia. The ASEAN Way is being used against ASEAN itself. Heightened uncertainty as to America's future role in and commitment to the region further heightens security concern. In its 50th anniversary year, Southeast Asians would do well to think outside the increasingly marginalised, internally divided, and procedurally restricted box that ASEAN has become. Three ideas already in circulation illustrate the kind of creativity that ASEAN will need if it is to sustain its acknowledged historical success in fashioning an independent political and economic identity for Southeast Asia.

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The future of relations between China and the United States depends on the readiness of both governments to focus on resolving shared challenges, longtime journalist John Pomfret said at the Shorenstein Asia-Pacific Research Center (APARC) last Wednesday.
 
“The reality of the U.S.-China relationship is collaboration and competition,” said Pomfret, who served for 15 years as a foreign correspondent, describing the nature of interaction between the two countries that began to normalize relations in 1972.
 
Pomfret's remarks were delivered at a colloquium entitled, “The United States and China in the Era of Donald Trump,” which explored the unorthodox approach Donald Trump took during his campaign on a range of issues related to China, and implications for the bilateral relationship now that Trump has assumed the U.S. presidency.
 
Pomfret over the course of his journalism career spent seven years covering China, including during the 1989 Tiananmen Square protests and from 1998 through 2003 as the bureau chief for the Washington Post in Beijing, and recently authored the book, The Beautiful Country and the Middle Kingdom, which examines U.S.-China relations from 1776 to the present. He won the 2007 Shorenstein Journalism Award, an annual honor conferred to a journalist who produces outstanding reporting on Asia.
 
“It’s clear that a new type of reciprocity is needed to right the balance in the U.S.-China relationship, but just whether Trump and his team have the wherewithal to do it…is very much an open question,” he said.
 
Trump continues to promise to restore manufacturing jobs in the United States, but fulfillment of that promise could come in conflict with its trade relationship with China, where much manufacturing of U.S. products takes place, he said.
 
Equally important in the U.S.-China relationship is how to address North Korea and its nuclear weapons and ballistic missiles program, which remains an “extremely complicated” and pressing situation, he said.
 
Pomfret expressed uncertainty about the Trump administration’s capacity to change China’s position from the status quo, which has long supported the North Korean regime by way of trade and relaxed implementation of U.N. sanctions despite repeated provocations.
 
Yet, amidst the vague foreign policy positions projected by Trump toward China, “there is one positive, and that is that he has the Chinese off-balance,” Pomfret admitted.
 
For Pomfret, his appearance at Stanford was a bit of a homecoming; he spoke to an audience of 200 faculty, students and community members at the colloquium sponsored by the China Program and Center for East Asian Studies, the center from which he received his master’s degree in 1984.
 
Asked about the future of China and its governance, he noted that today’s China is markedly different than when he was there in the 1980s studying as a student, and later, working as a journalist. The generational changes are stark, said Pomfret, relaying a sense of optimism that the country would become more democratic over time.
 
“The amount of personal freedoms that the average Chinese person has has expanded exponentially. I think the desire of Chinese people to have more agency over their lives will continue to grow – that’s clear.”
 
Innovation will be a determinant of China’s future growth, said Pomfret, coupling the idea that societies that have knowledge-driven economies typically demand more freedoms. Without innovation, China will fall into the middle-income trap, he said, “I don’t think they want to be there; they are an incredibly proud nation.”
 
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Stanford scholars are encouraging the new administration to consider steps to alleviate the uncertainty and anxiety felt by countries in East Asia about U.S. intentions toward the region.

President Donald Trump’s anti-China rhetoric during his campaign and his recent withdrawal of the U.S. from the Trans-Pacific Partnership have contributed to the unease in the region, which is drifting in ways that are unfavorable for American interests, they said.

Stanford’s Walter H. Shorenstein Asia-Pacific Research Center (APARC) recently published a 27-page report with recommendations on topics of trade and defense that would improve relations between the U.S. and Asian countries. The report, co-authored by eight Stanford scholars, is aimed to help shape U.S. policies in the region.

“The advent of any new administration provides an opportunity to reassess policy approaches,” wrote Gi-Wook Shin, director of the Shorenstein center. “A new mandate exists, and it is our hope that that mandate will be used wisely by the new administration.”

Trade and defense

The biggest trade concern for experts in the region is President Trump’s decision to withdraw the U.S. from the Trans-Pacific Partnership (TPP) and his intention to focus on bilateral agreements instead of multinational pacts.

The agreement, which bound 12 countries in the region by a set of international trade and investment rules, had problems, Stanford scholars said. For example, some have criticized the treaty for not requiring full compliance with international labor standards for all the participating countries. Also, the rules of origin, which were supposed to give preferential treatment to countries in the TPP, were deemed to be weak by many, allowing goods produced outside the TPP to receive benefits.

But it would not be wise or efficient for the U.S. to start negotiations from scratch in the region because the U.S. withdrawal from the agreement, which was touted as a model for the 21st century, already has hurt its credibility with other Asian countries, said Takeo Hoshi, director of the Japan Program at the Shorenstein Center. In addition, Asian countries view the idea of bilateral agreements as an attempt to force trade deals on them that disproportionately benefit the U.S., he said.

“The TPP was not perfect and many problems remain, but they are not removed by abandoning the TPP,” Hoshi wrote in the report. “Completely abandoning the TPP could hurt not only the U.S. economy but also erode U.S. leadership in Asia.”

Hoshi said the U.S. should rely on aspects of TPP that are consistent with the current U.S. trade policy when creating new bilateral agreements, while maintaining and improving existing free trade agreements with other Asian countries.

Another immediate concern for scholars is the maintenance of security and stability in the region.

“The region is unsettled because of uncertainty about us,” said Thomas Fingar, a Shorenstein APARC fellow. “The U.S. has long served as the guarantor of prosperity and security in the region but Asians are no longer convinced that we have the will or ability to do so. This has real consequences … It’s not simply because they are already beginning to act as if we intend to play a less active or positive role.”

If China’s national power and economy continue to expand, it will become increasingly difficult to maintain stability in the region if the U.S. does not continue to play a constructive role. Possible dangers include escalation of tensions between China and the U.S. or its allies following accidents or tactical encounters near areas over which China claims sovereignty.

In the report, scholars recommend a comprehensive review of security in the region to make sure military plans are in place that prioritize management of a possible collapse of North Korea or a sudden military strike coming from the country. Other priorities should include peaceful resolution of China-Taiwan differences and ensuring military access in the South China Sea and East China Sea, wrote Karl Eikenberry, director of the U.S.-Asia Security Initiative at the Shorenstein Center.

“The United States also should engage in a more long-range, exploratory strategic dialogue, first with allies and partners, and then with Beijing, to identify potential areas of mutual interest that can help prevent the unintended escalation of conflicts and reduce already dangerous levels of misperception and mistrust on both sides,” Eikenberry wrote.

China is key

Maintaining a peaceful, productive relationship with China should be of the utmost importance for the U.S., according to the Stanford scholars.

“Managing America’s multifaceted relationship with China is arguably the most consequential foreign policy challenge facing the new administration,” Fingar said.

Although President Trump’s anti-China rhetoric during his campaign made Asian countries anxious about the future, China has been criticized by many American leaders before. Ten previous U.S. presidents were critical of China during their campaigns, but once they assumed office, their tone changed and they adopted a more pragmatic view of U.S. interests in the area, Fingar wrote.

However, while in the past China’s political moves have been predictable for the most part, now that its economy is slowing, the country is increasingly relying on social control and nationalism to reinforce regime legitimacy. This makes China less predictable, according to Fingar.

But the scholars say that there are several opportunities to approach the relationship with China in a way that is beneficial for the U.S. and the rest of the region.

One such opportunity would be for the U.S. to declare its willingness to join China’s newly created Asian Infrastructure Investment Bank, which was formed in early 2016 to support construction projects in the Asia-Pacific region. This would be an “any outcome we win” opportunity that would showcase the U.S. desire to cooperate with China and help establish the region’s confidence in the U.S., Fingar said.

The new administration should also consider pushing for a quick completion of a Bilateral Investment Treaty with China – something that two previous U.S. administrations were not able to achieve. Creating this agreement would help protect things that are important to the U.S. businesses and reassure the willingness of the U.S. to deepen its relationship with China, according to Fingar.

“In my view, how we’re going to establish or reestablish relations with China is key,” Shin said. “Will there be more tension? That’s really important. This affects not only the U.S., but also our allies in the region.”

Alex Shashkevich is a writer for the Stanford News Service.

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Navy officers wait dockside as a Chinese Navy warship, escorting the arrival of the USS Curtis Wilbur, arrives at Qingdao port.
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