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Jun 7, 2006

Overseas Chinese Go for Rubles

The recent article by Bertil Lintner in Asia Times describing the expansion of Chinese merchants into Asian Russia indirectly raises some interesting issues. On the surface, this is nothing new. For hundreds of years, overseas Chinese have left their homeland seeking their fortunes elsewhere. Overseas Chinese have played a signficant role in the economies of Indonesia, Malaysia, Singapore and Vietnam. Chinese restaurants are ubiquitous in America. Even Vernal, Utah, has not one, but two, of them.

So what's so interesting about the overseas Chinese going to Russia?

For one thing, Mr. Lintner informs us that the population of Asian Russia dropped in the last 15 years from 9 million to 7 million. This mirrors the demographics for the entire country. Russia's population is collapsing and its life expectancy is declining. In eastern Russia, at least, it seems the Chinese are moving into the breach.

According to Mr. Lintner, Asian Russia is now flooded with Chinese products while Russian factories close. Mr. Lintner also tells us that China is now dominating the food supply for Asian Russia. And he raises the very interesting issue of Asian Russia becoming economically separated from European Russia. Is this the continued disintegration of the old Soviet Union?

Finally, we have the interesting parallel between the overseas Chinese in Asia and the Jews in pre-modern Europe. In both cases, we have successful merchants who are visibly recognizable as outsiders and often unpopular with the locals. Now, the Asian Jews are moving into Russia. Are the Cossacks still around?