Corruption and Reform in China

{
  "authors": [
    "Yukon Huang"
  ],
  "type": "legacyinthemedia",
  "centerAffiliationAll": "dc",
  "centers": [
    "Carnegie Endowment for International Peace"
  ],
  "collections": [],
  "englishNewsletterAll": "asia",
  "nonEnglishNewsletterAll": "",
  "primaryCenter": "Carnegie Endowment for International Peace",
  "programAffiliation": "AP",
  "programs": [
    "Asia"
  ],
  "projects": [],
  "regions": [
    "East Asia",
    "China"
  ],
  "topics": [
    "Political Reform"
  ]
}

In The Media

Corruption and Reform in China

Pervasive corruption is causing increasing unrest in China, and while political transition has sparked hopes for reforms, vested interests pose a daunting challenging.

By Yukon Huang

Published on Nov 8, 2012

Source: BBC World News

Speaking on BBC World News, Carnegie's Yukon Huang explained that the Chinese economy is doing reasonably well compared to rest of world. The main concern for the Chinese people is pervasive corruption, he argued. Recent high-profile cases, involving senior officials and large amounts of money, and recent revelations of the activities of officials’ relatives have added fuel to the fire. Corruption is now affecting not just common people, but also the upper echelons of government. Cases of mass unrest in provinces are on the rise, and spending on domestic security now exceeds military spending, Huang explained.

China’s leadership transition has caused a burst of optimism among some observers who hope the new generation of leaders will implement political reforms, Huang continued. Analysts in Beijing are speculating whether the state sector and financial sector will be reformed. But vested interests are standing in the way of this reform process. The great irony in China is that these vested interests only arose because the economy was doing so well, Huang said. In a weak and unproductive economy, corruption is not very profitable. But when the economy grows quickly, there is quite a bit to be gained. In China today, the vested interests of state enterprises and party officials are very powerful, he concluded.

About the Author

Yukon Huang

Senior Fellow, Asia Program

Huang is a senior fellow in the Carnegie Asia Program where his research focuses on China’s economy and its regional and global impact.

Recent Work

Commentary
Three Takeaways From the Biden-Xi Meeting
- Yukon Huang, Isaac B. Kardon, Matt Sheehan
Commentary
Europe Narrowly Navigates De-risking Between Washington and Beijing
- Yukon Huang, Genevieve Slosberg

Political Reform East Asia China

Carnegie does not take institutional positions on public policy issues; the views represented herein are those of the author(s) and do not necessarily reflect the views of Carnegie, its staff, or its trustees.

More Work from Carnegie Russia Eurasia Center

Commentary
Carnegie Politika
Did Putin Return From China Empty-Handed?
With no key agreement signed on the Power of Siberia 2 gas pipeline, there is a risk that the window of opportunity for Russia will close if Chinese power generation becomes so green that new gas sources are no longer of any interest to Beijing.
Alexander Gabuev
Commentary
Carnegie Politika
Could the Rise of the New People Party Reshape Russia’s Managed Political System?
Anger over online restrictions has led to a surge in support for the New People party, which has replaced the Communists as Russia’s second most popular political party.
Andrey Pertsev
Commentary
Carnegie Politika
In Russia, the Public Mood Is Souring
The Russian regime is now visibly motivated by fear.
Alexander Baunov
Commentary
Carnegie Politika
Could the Iran War Push Japan to Restore Russian Oil Imports?
Tokyo would have to surmount a lot of obstacles—not least Western sanctions—if it wanted to return Russian oil imports to even modest pre-2022 volumes.
Vladislav Pashchenko
Commentary
Carnegie Politika
The Much-Touted Middle Corridor Transport Route Could Prove a Dead End
For the Middle Corridor to fulfill its promises, one of these routes must become scalable. At present, neither is.
Friedrich Conradi

More Work from Carnegie Russia Eurasia Center

Commentary

Carnegie Politika

Did Putin Return From China Empty-Handed?

With no key agreement signed on the Power of Siberia 2 gas pipeline, there is a risk that the window of opportunity for Russia will close if Chinese power generation becomes so green that new gas sources are no longer of any interest to Beijing.

Alexander Gabuev

Commentary

Carnegie Politika

Could the Rise of the New People Party Reshape Russia’s Managed Political System?

Anger over online restrictions has led to a surge in support for the New People party, which has replaced the Communists as Russia’s second most popular political party.

Andrey Pertsev

Commentary

Carnegie Politika

In Russia, the Public Mood Is Souring

The Russian regime is now visibly motivated by fear.

Alexander Baunov

Commentary

Carnegie Politika

Could the Iran War Push Japan to Restore Russian Oil Imports?

Tokyo would have to surmount a lot of obstacles—not least Western sanctions—if it wanted to return Russian oil imports to even modest pre-2022 volumes.

Vladislav Pashchenko

Commentary

Carnegie Politika

The Much-Touted Middle Corridor Transport Route Could Prove a Dead End

For the Middle Corridor to fulfill its promises, one of these routes must become scalable. At present, neither is.

Friedrich Conradi