1 00:00:09,000 --> 00:00:11,640 He's a leader like no other. 2 00:00:11,640 --> 00:00:14,600 Commander of a formidable military. 3 00:00:14,600 --> 00:00:16,720 President of a rising superpower. 4 00:00:22,000 --> 00:00:24,280 This series tells the story 5 00:00:24,280 --> 00:00:28,520 of Chinese President Xi Jinping's six-year rule. 6 00:00:28,520 --> 00:00:33,160 He heads an economy that is now crucial to all of us. 7 00:00:33,160 --> 00:00:37,080 Hundreds of millions of people have been lifted out of poverty. 8 00:00:37,080 --> 00:00:40,920 China was clearly going to be the great source of growth 9 00:00:40,920 --> 00:00:45,600 in the global economy, and we want a part of that. 10 00:00:45,600 --> 00:00:48,240 For years, world leaders have sought to work with him 11 00:00:48,240 --> 00:00:51,880 to solve some of the most pressing issues of our time. 12 00:00:51,880 --> 00:00:54,960 When we work together, it's good for the United States, 13 00:00:54,960 --> 00:00:59,080 it's good for China and it is good for the world. 14 00:00:59,080 --> 00:01:03,560 But in the West, there's growing anxiety about how President Xi's 15 00:01:03,560 --> 00:01:06,320 China is extending its power. 16 00:01:06,320 --> 00:01:10,000 Now media reports have suggested that the Chinese Communist Party 17 00:01:10,000 --> 00:01:12,360 has been working covertly to interfere 18 00:01:12,360 --> 00:01:14,840 with the decisions of elected representatives. 19 00:01:14,840 --> 00:01:18,920 I think Australia is, in many ways, the canary in the coal mine. 20 00:01:18,920 --> 00:01:23,600 In the US, the talk is no longer for cooperation. 21 00:01:23,600 --> 00:01:27,240 We will have to accept some more tension with China, 22 00:01:27,240 --> 00:01:30,200 some more confrontation with China. 23 00:01:30,200 --> 00:01:34,800 And Xi is now facing the biggest ever challenge to his authority. 24 00:01:34,800 --> 00:01:36,760 After years of tension, 25 00:01:36,760 --> 00:01:41,480 pro-democracy protesters in Hong Kong have taken to the streets. 26 00:01:41,480 --> 00:01:44,280 We don't want Hong Kong to become China. 27 00:01:44,280 --> 00:01:46,440 We want our freedom. 28 00:01:46,440 --> 00:01:50,000 Xi Jinping has transformed his country. 29 00:01:50,000 --> 00:01:53,640 He could be President for the rest of his life. 30 00:01:53,640 --> 00:01:58,600 So what does that mean for China and the rest of the world? 31 00:01:58,600 --> 00:02:01,160 Xi Jinping has a dream. 32 00:02:01,160 --> 00:02:03,520 China has to be strong, China has to be powerful, 33 00:02:03,520 --> 00:02:07,040 China's has to have its future in its own hands. 34 00:02:07,040 --> 00:02:11,520 The bottom line that I learned in dealing with China 35 00:02:11,520 --> 00:02:15,560 is do not trust them. Do not trust them. 36 00:02:33,480 --> 00:02:36,800 APPLAUSE 37 00:02:36,800 --> 00:02:40,920 In a few moments, the United Kingdom's responsibilities 38 00:02:40,920 --> 00:02:44,840 will pass to the People's Republic of China. 39 00:02:44,840 --> 00:02:47,200 We shall not forget you, 40 00:02:47,200 --> 00:02:50,720 and we shall watch with the closest interest 41 00:02:50,720 --> 00:02:55,360 as you embark on this new era of your remarkable history. 42 00:02:58,840 --> 00:03:03,320 In 1997, Hong Kong's 6.5 million population 43 00:03:03,320 --> 00:03:09,120 was handed over to China after 155 years of British rule. 44 00:03:09,120 --> 00:03:12,240 I think we handed over to China 45 00:03:12,240 --> 00:03:15,680 a very successful, thriving economy, 46 00:03:15,680 --> 00:03:17,680 a free society. 47 00:03:17,680 --> 00:03:21,400 And China made lots of promises to us that in the future, 48 00:03:21,400 --> 00:03:24,440 the democratic changes that we'd put in train 49 00:03:24,440 --> 00:03:28,320 would be continued, and that Hong Kong would be responsible 50 00:03:28,320 --> 00:03:32,560 for working out its own legislative arrangements. 51 00:03:32,560 --> 00:03:37,240 The Union Flag and the Hong Kong flag will now be lowered, 52 00:03:37,240 --> 00:03:41,120 and the national flag of the People's Republic of China 53 00:03:41,120 --> 00:03:44,920 and the Hong Kong Special Administrative Region flag 54 00:03:44,920 --> 00:03:46,760 will be raised. 55 00:03:46,760 --> 00:03:49,240 MUSIC: God Save The Queen 56 00:03:49,240 --> 00:03:53,280 The British struck a deal with China's ruling Communist Party 57 00:03:53,280 --> 00:03:56,840 that allowed Hong Kong to govern itself for 50 years 58 00:03:56,840 --> 00:04:00,600 with minimal interference from Beijing. 59 00:04:03,280 --> 00:04:07,720 Under the deal, known as one country, two systems, 60 00:04:07,720 --> 00:04:11,320 Hong Kong was meant to have free elections. 61 00:04:11,320 --> 00:04:15,040 I think we all hoped that, even though it would be a bit difficult 62 00:04:15,040 --> 00:04:18,560 to make it work, that it would work reasonably well and ensure 63 00:04:18,560 --> 00:04:21,640 that Hong Kong remained one of the freest cities in Asia. 64 00:04:21,640 --> 00:04:25,360 I think that's changed since Xi Jinping. 65 00:04:43,720 --> 00:04:46,080 One year into Xi's presidency, 66 00:04:46,080 --> 00:04:49,440 the deal with the British came unstuck. 67 00:04:49,440 --> 00:04:52,160 China said that Hong Kongers could elect 68 00:04:52,160 --> 00:04:55,040 a chief executive, but they would only be able to vote 69 00:04:55,040 --> 00:04:58,280 for candidates approved by a special committee 70 00:04:58,280 --> 00:05:00,480 that was widely seen as pro-Beijing. 71 00:05:05,000 --> 00:05:08,600 Protest on this scale is rare in Hong Kong, 72 00:05:08,600 --> 00:05:12,520 but these students are determined to get Beijing's attention. 73 00:05:12,520 --> 00:05:15,320 Its promise of one person one vote... 74 00:05:17,280 --> 00:05:19,920 ..rendered meaningless, they complain, 75 00:05:19,920 --> 00:05:23,040 by its plan for screening election candidates. 76 00:05:23,040 --> 00:05:25,680 They're now planning civil disobedience 77 00:05:25,680 --> 00:05:27,720 if this protest doesn't work. 78 00:05:27,720 --> 00:05:29,920 We want a true democracy. 79 00:05:29,920 --> 00:05:34,440 We want genuine universal suffrage for Hong Kong. 80 00:05:34,440 --> 00:05:39,400 University professor Benny Tai was one of the protest leaders. 81 00:05:48,240 --> 00:05:49,760 APPLAUSE 82 00:06:10,560 --> 00:06:14,200 PROTESTORS CHEER 83 00:06:14,200 --> 00:06:17,160 As night fell, the crowd swelled, 84 00:06:17,160 --> 00:06:21,760 sending Beijing a message that they're a post-colonial generation 85 00:06:21,760 --> 00:06:26,040 who won't put up with exchanging one set of masters for another. 86 00:06:32,080 --> 00:06:34,560 It was Hong Kong people fighting for democracy, 87 00:06:34,560 --> 00:06:38,400 regardless of the severe suppression from the Beijing government. 88 00:06:39,680 --> 00:06:43,360 Nathan Law was a leading student protestor. 89 00:06:43,360 --> 00:06:48,200 It's one of the busiest intersections in Hong Kong. 90 00:06:48,200 --> 00:06:52,240 I remember that there were lots of actions, 91 00:06:52,240 --> 00:06:54,840 that the police blocked 92 00:06:54,840 --> 00:06:57,440 the people, and conflicts happened. 93 00:06:58,680 --> 00:07:02,160 SHOUTING 94 00:07:04,400 --> 00:07:07,080 The police response was uncompromising. 95 00:07:23,080 --> 00:07:24,600 REPORTER: A few minutes ago, 96 00:07:24,600 --> 00:07:26,960 there was tear gas canisters going off in this crowd. 97 00:07:26,960 --> 00:07:29,320 There's still a catch in the throat, a sting in the eye. 98 00:07:29,320 --> 00:07:32,640 But right now, an uneasy standoff between the riot police on this side 99 00:07:32,640 --> 00:07:34,360 and the crowd on the other. 100 00:07:54,200 --> 00:07:59,480 As the demonstrations grew in size, the police pulled back. 101 00:07:59,480 --> 00:08:03,520 Protesters, who were openly defiant of the authorities in Hong Kong 102 00:08:03,520 --> 00:08:06,680 and Beijing, occupied parts of the city. 103 00:08:11,160 --> 00:08:14,120 In the heart of a global financial centre, 104 00:08:14,120 --> 00:08:17,560 a new day dawns on Hong Kong's democracy movement. 105 00:08:19,800 --> 00:08:23,240 We saw college students, even high school kids, 106 00:08:23,240 --> 00:08:26,840 risking imprisonment to send a message to Beijing, 107 00:08:26,840 --> 00:08:30,520 asking for Western-style democratic reforms. 108 00:08:32,200 --> 00:08:36,040 The demonstrators paralysed parts of the city for weeks. 109 00:08:38,680 --> 00:08:43,160 The Government's clearly decided to let weariness, divisions 110 00:08:43,160 --> 00:08:46,120 and public indignation drive the Umbrella Movement out. 111 00:09:02,840 --> 00:09:06,040 The government made no concessions. 112 00:09:06,040 --> 00:09:11,280 After two and a half months, the protests came to an end. 113 00:09:11,280 --> 00:09:15,320 Expecting arrest, Benny decided to hand himself in. 114 00:09:26,120 --> 00:09:27,960 In the years that followed, 115 00:09:27,960 --> 00:09:31,120 the protesters continued to call for democracy, 116 00:09:31,120 --> 00:09:34,520 but President Xi appeared impervious to their demands. 117 00:09:36,640 --> 00:09:40,840 He actually took the opposite direction 118 00:09:40,840 --> 00:09:44,000 of what the students had demanded. 119 00:09:44,000 --> 00:09:46,120 And we have seen, progressively, 120 00:09:46,120 --> 00:09:50,000 a tighter grip by Beijing on Hong Kong affairs. 121 00:09:50,000 --> 00:09:57,080 He's really trying to develop a kind of virtual wall around Hong Kong. 122 00:09:57,080 --> 00:10:02,880 He's trying to rewrite the history books and political science books. 123 00:10:02,880 --> 00:10:08,080 I think the ultimate destination for Hong Kong in Xi Jinping's mind 124 00:10:08,080 --> 00:10:11,120 is basically as an economically thriving, 125 00:10:11,120 --> 00:10:15,480 politically quiescent mainland Chinese city. 126 00:10:18,800 --> 00:10:21,840 APPLAUSE/MILITARY BAND PLAYS 127 00:10:24,880 --> 00:10:28,640 On the 20th anniversary of the handover of Hong Kong to China, 128 00:10:28,640 --> 00:10:32,560 President Xi arrived for a three-day visit, 129 00:10:32,560 --> 00:10:35,680 and then there was a carefully timed announcement 130 00:10:35,680 --> 00:10:38,280 from China's Ministry of Foreign Affairs. 131 00:10:51,920 --> 00:10:54,000 SHOUTING 132 00:10:56,360 --> 00:10:59,760 Tens of thousands of people poured onto the streets 133 00:10:59,760 --> 00:11:03,280 to demonstrate against what they feared President Xi was doing 134 00:11:03,280 --> 00:11:06,240 to Hong Kong. 135 00:11:06,240 --> 00:11:08,280 But the protests made little difference. 136 00:11:09,760 --> 00:11:12,000 Hong Kong belongs to China. 137 00:11:12,000 --> 00:11:15,920 In other words, Hong Kong's entire sovereignty is part of China. 138 00:11:15,920 --> 00:11:18,560 If Hong Kong doesn't have its own sovereignty, 139 00:11:18,560 --> 00:11:22,800 the kind of democracy we understand, or explained by the Western media, 140 00:11:22,800 --> 00:11:25,040 obviously is unrealistic. 141 00:11:41,480 --> 00:11:43,720 If President Xi wants to say, 142 00:11:43,720 --> 00:11:46,360 "You can't trust anything my predecessors did, 143 00:11:46,360 --> 00:11:49,200 "you can't trust me. You can't trust China to keep its word 144 00:11:49,200 --> 00:11:51,440 "in international treaties," 145 00:11:51,440 --> 00:11:54,080 then I guess we have to take that rather seriously. 146 00:11:55,320 --> 00:11:57,880 It's very disappointing the way that Xi Jinping 147 00:11:57,880 --> 00:12:00,840 has clamped down on Hong Kong's freedoms. 148 00:12:00,840 --> 00:12:03,680 And I think we're getting close to the point 149 00:12:03,680 --> 00:12:06,680 where we can say that Hong Kong is no longer 150 00:12:06,680 --> 00:12:08,480 one country, two systems. 151 00:12:09,640 --> 00:12:12,960 The Chinese Government says that the people of Hong Kong 152 00:12:12,960 --> 00:12:16,240 enjoy unprecedented democratic rights 153 00:12:16,240 --> 00:12:21,560 and extensive freedom rarely seen in other parts of the world, 154 00:12:21,560 --> 00:12:24,280 and that the past two decades have fully proved 155 00:12:24,280 --> 00:12:26,600 that one country, two systems 156 00:12:26,600 --> 00:12:28,880 is the best institutional arrangement 157 00:12:28,880 --> 00:12:33,080 for Hong Kong's long-term prosperity and stability. 158 00:12:33,080 --> 00:12:37,760 It says what happens in Hong Kong is purely an internal affair for China. 159 00:12:51,960 --> 00:12:53,800 China's approach to Hong Kong 160 00:12:53,800 --> 00:12:57,120 reflected a new and more assertive foreign policy. 161 00:13:01,880 --> 00:13:04,360 For decades, China had followed a rule - 162 00:13:04,360 --> 00:13:06,920 hide your power and bide your time. 163 00:13:08,640 --> 00:13:11,680 But under President Xi, that had changed. 164 00:13:31,400 --> 00:13:33,320 APPLAUSE 165 00:13:33,320 --> 00:13:36,480 Xi Jinping is saying, "Now's the time. We're ready. 166 00:13:36,480 --> 00:13:38,920 "We have the strength. We see weakness 167 00:13:38,920 --> 00:13:41,720 "in the other leading countries, and we will use all of these elements 168 00:13:41,720 --> 00:13:44,400 "of national power so that China 169 00:13:44,400 --> 00:13:47,200 "can retake its rightful place not only in Asia 170 00:13:47,200 --> 00:13:49,280 "but in the world itself." 171 00:13:49,280 --> 00:13:51,240 China is certainly going to challenge 172 00:13:51,240 --> 00:13:54,200 America's place in the world. 173 00:13:54,200 --> 00:13:59,040 China does not believe in the Western liberal democracy model. 174 00:13:59,040 --> 00:14:01,760 China is forging its own model. 175 00:14:01,760 --> 00:14:06,360 So, yes, in that sense, it will be a real rival, a real competitor. 176 00:14:08,440 --> 00:14:11,560 Leon Panetta, as US Defense Secretary, 177 00:14:11,560 --> 00:14:14,840 had developed a friendship with Xi Jinping, 178 00:14:14,840 --> 00:14:18,080 but his initial optimism about US-China relations 179 00:14:18,080 --> 00:14:20,560 was now fading. 180 00:14:20,560 --> 00:14:23,120 While we were concerned about Russia, 181 00:14:23,120 --> 00:14:25,600 Al-Qaeda, threats from North Korea, 182 00:14:25,600 --> 00:14:28,400 China was operating below the radar, 183 00:14:28,400 --> 00:14:30,760 and coming at us in a number of directions. 184 00:14:31,920 --> 00:14:36,560 The bottom line that I learned in dealing with China 185 00:14:36,560 --> 00:14:39,000 is do not trust them. 186 00:14:39,000 --> 00:14:41,400 Do not trust them. 187 00:14:41,400 --> 00:14:44,120 And always suspect 188 00:14:44,120 --> 00:14:49,400 that they are making efforts to undermine your stability. 189 00:14:49,400 --> 00:14:51,640 If you do that, 190 00:14:51,640 --> 00:14:55,040 then I think you can ultimately find a way to deal with China. 191 00:14:56,240 --> 00:14:58,600 If you don't do that, 192 00:14:58,600 --> 00:15:01,360 then you're going to be overwhelmed. 193 00:15:04,200 --> 00:15:09,520 What was alarming the Americans was China's growing economic power. 194 00:15:09,520 --> 00:15:12,600 President Xi was using it to expand his country's 195 00:15:12,600 --> 00:15:14,000 influence around the world. 196 00:15:16,040 --> 00:15:19,680 China's rise has been one of the most peaceful in history 197 00:15:19,680 --> 00:15:24,960 in terms of a nation that is challenging the economic status 198 00:15:24,960 --> 00:15:28,600 of the largest and most powerful nation. 199 00:15:29,800 --> 00:15:33,880 At the heart of Xi's foreign policy was a trillion-dollar economic 200 00:15:33,880 --> 00:15:38,360 plan called Belt and Road, building infrastructure in countries that 201 00:15:38,360 --> 00:15:40,360 couldn't readily get investment. 202 00:15:44,080 --> 00:15:46,480 I think the goal of One Belt, One Road 203 00:15:46,480 --> 00:15:49,000 is to increase China's national power. 204 00:15:49,000 --> 00:15:52,600 We should understand that it goes east and west, north and south, 205 00:15:52,600 --> 00:15:55,720 land and maritime-based - actually is of concern, 206 00:15:55,720 --> 00:16:00,480 that you could have these tentacles stretching out in many different 207 00:16:00,480 --> 00:16:04,960 directions and in many ways, that China could be gaining influence 208 00:16:04,960 --> 00:16:07,760 over a lot of nations that feel they have no alternative. 209 00:16:19,600 --> 00:16:22,280 Opening a new chapter in Sri Lanka's aviation history, the nation's 210 00:16:22,280 --> 00:16:24,120 second international airport, 211 00:16:24,120 --> 00:16:27,240 the Mattala Rajapaksa International Airport was declared open today 212 00:16:27,240 --> 00:16:31,160 under the auspices of President Mahinda Rajapaksa. 213 00:16:31,160 --> 00:16:35,840 Those who say Belt and Road isn't just about trade point to Sri Lanka. 214 00:16:35,840 --> 00:16:39,280 This airport, built with money loaned by China, 215 00:16:39,280 --> 00:16:42,520 was opened to great fanfare in 2013 216 00:16:42,520 --> 00:16:46,200 by President Mahinda Rajapaksa. His government said 217 00:16:46,200 --> 00:16:50,400 it would transform Sri Lanka into a regional aviation hub. 218 00:17:02,040 --> 00:17:07,120 This is the weirdest airport, I think, in the whole world. 219 00:17:07,120 --> 00:17:10,960 It was ranked the emptiest airport in the world 220 00:17:10,960 --> 00:17:15,000 by one travel magazine a couple of years ago. 221 00:17:15,000 --> 00:17:18,840 It has no logical explanation. 222 00:17:19,920 --> 00:17:23,560 President Rajapaksa ordered the national airline to land 223 00:17:23,560 --> 00:17:27,000 at the new airport, even though its flights didn't need to. 224 00:17:28,240 --> 00:17:31,680 There were no passengers to pick up or drop off. The planes would stay 225 00:17:31,680 --> 00:17:33,680 on the tarmac for an hour. 226 00:17:33,680 --> 00:17:35,280 Nobody would get out. 227 00:17:35,280 --> 00:17:39,080 Nobody would get in. And then the flight would take off again. 228 00:17:39,080 --> 00:17:42,440 So just the cost to the national carrier to land the plane 229 00:17:42,440 --> 00:17:44,200 30 minutes after takeoff... 230 00:17:45,080 --> 00:17:47,320 ..and then take off again... 231 00:17:47,320 --> 00:17:49,520 was...monumental. 232 00:17:51,360 --> 00:17:56,640 The airport cost more than $200 million and was largely financed 233 00:17:56,640 --> 00:17:59,360 with high-interest loans from China. 234 00:17:59,360 --> 00:18:03,000 It was built in President Rajapaksa's own constituency. 235 00:18:04,240 --> 00:18:09,040 Critics call it a vanity project, and say China financed it to gain 236 00:18:09,040 --> 00:18:10,840 influence over Sri Lanka. 237 00:18:12,040 --> 00:18:17,200 This was done not because of real planning, real projection 238 00:18:17,200 --> 00:18:19,720 of passenger numbers - a real need. 239 00:18:21,000 --> 00:18:23,680 Basically, money buys influence. 240 00:18:23,680 --> 00:18:25,520 And here, it's a lot of money 241 00:18:25,520 --> 00:18:29,760 and a lot of influence. China is playing a very serious role 242 00:18:29,760 --> 00:18:32,040 in Sri Lanka's economy. 243 00:18:32,040 --> 00:18:35,040 That worries me as a liberal Sri Lankan. 244 00:18:40,120 --> 00:18:46,320 Just over 20 miles down the road is Magampura Mahinda Rajapaksa Port - 245 00:18:46,320 --> 00:18:50,280 another grand scheme, financed with Chinese loans, 246 00:18:50,280 --> 00:18:53,320 in President Rajapaksa's constituency. 247 00:18:53,320 --> 00:18:58,160 This 4,000-acre port, on one of the world's busiest shipping lanes, 248 00:18:58,160 --> 00:19:01,280 cost $1.3 billion to build. 249 00:19:01,280 --> 00:19:04,840 The government claimed it would boost Sri Lanka's economy. 250 00:19:10,000 --> 00:19:12,640 We are at the third gate. 251 00:19:12,640 --> 00:19:16,680 The first gate, we were there, is empty, the second gate is empty. 252 00:19:16,680 --> 00:19:19,960 The third gate is interesting, simply because it's hardly used. 253 00:19:23,840 --> 00:19:27,880 One of the main entrances is in fact being blocked by three cars - 254 00:19:27,880 --> 00:19:29,880 that seems to be there for some time. 255 00:19:32,560 --> 00:19:35,200 Critics say the port - like the airport - 256 00:19:35,200 --> 00:19:38,040 has been virtually empty since it opened. 257 00:19:38,040 --> 00:19:40,080 So what did we get out of all of this? 258 00:19:40,080 --> 00:19:41,720 Zero. 259 00:19:41,720 --> 00:19:46,320 Except for this whole huge debt that everybody's carrying 260 00:19:46,320 --> 00:19:47,960 on our shoulders at the moment. 261 00:19:50,240 --> 00:19:52,880 President Rajapaksa's son says the projects 262 00:19:52,880 --> 00:19:55,400 WERE commercially viable 263 00:19:55,400 --> 00:19:57,720 and the borrowing was part of a carefully thought-out 264 00:19:57,720 --> 00:20:00,000 plan for the country. 265 00:20:00,000 --> 00:20:01,960 We knew what exactly we were going to do 266 00:20:01,960 --> 00:20:03,760 from the money that we borrowed. 267 00:20:03,760 --> 00:20:06,400 We had a business plan, and this is the volume of Hambantota Port 268 00:20:06,400 --> 00:20:08,560 that was during my father's government. 269 00:20:08,560 --> 00:20:10,120 And if you can show this, 270 00:20:10,120 --> 00:20:12,640 if you can see the growth... 271 00:20:12,640 --> 00:20:16,400 of transhipment, you know, it is tremendous. The shipping industry 272 00:20:16,400 --> 00:20:18,080 is not a tea shop or a coffee shop 273 00:20:18,080 --> 00:20:20,440 to open and say "please come and have coffee". 274 00:20:20,440 --> 00:20:22,240 So it takes time. 275 00:20:22,240 --> 00:20:24,320 It takes time. 276 00:20:24,320 --> 00:20:27,520 But the loans from China proved controversial, 277 00:20:27,520 --> 00:20:31,160 and President Rajapaksa was voted out in 2015. 278 00:20:32,280 --> 00:20:35,520 The new government struggled to keep up with the repayments. 279 00:20:37,360 --> 00:20:42,400 So China took control of the port on a 99-year lease. 280 00:20:42,400 --> 00:20:44,640 China now had its own port 281 00:20:44,640 --> 00:20:47,440 on one of the world's most important trade routes. 282 00:20:48,920 --> 00:20:52,160 The Sri Lankan government plays down the significance of the deal. 283 00:20:53,480 --> 00:20:57,240 China is a useful economic partner and a world leader. 284 00:20:57,240 --> 00:21:01,720 So they do play a significant role in economic activities. 285 00:21:01,720 --> 00:21:04,760 I mean, if any countries say that they can avoid China and do 286 00:21:04,760 --> 00:21:10,440 business, I think they have lost some fundamental thinking process. 287 00:21:13,200 --> 00:21:16,720 In the US, the new Trump administration was watching 288 00:21:16,720 --> 00:21:19,800 developments in Sri Lanka closely. 289 00:21:19,800 --> 00:21:22,360 What the Chinese Communist Party's been able to do 290 00:21:22,360 --> 00:21:26,240 with the Belt and Road initiatives is really set a debt trap. 291 00:21:26,240 --> 00:21:29,760 And so what you have now is this servile relationship 292 00:21:29,760 --> 00:21:34,240 with countries and with governments who now feel pressure 293 00:21:34,240 --> 00:21:39,480 not only to meet the debt obligations but also feel pressure 294 00:21:39,480 --> 00:21:43,320 to support China's world view, to support China's foreign 295 00:21:43,320 --> 00:21:45,040 policy as well. 296 00:21:45,040 --> 00:21:48,560 Some independent analysts reject that view. 297 00:21:50,080 --> 00:21:53,560 At least it's not as bad as some people said, that Sri Lanka's 298 00:21:53,560 --> 00:21:56,960 being trapped in that debt, and those kind of developments is only 299 00:21:56,960 --> 00:21:58,320 for China's interests - 300 00:21:58,320 --> 00:22:00,240 Sri Lanka would not get anything. 301 00:22:00,240 --> 00:22:02,840 I think we should give it a little bit of time. 302 00:22:02,840 --> 00:22:04,360 We should be a little patient 303 00:22:04,360 --> 00:22:06,600 to see what eventually it will turn out to be. 304 00:22:08,160 --> 00:22:12,840 But the concerns in the US are not just about the economics. 305 00:22:12,840 --> 00:22:15,680 The likelihood of the People's Liberation Army pulling 306 00:22:15,680 --> 00:22:20,080 into these ports in the coming decades is almost 100% in my view. 307 00:22:20,080 --> 00:22:24,400 ports for at least a decade. 308 00:22:24,400 --> 00:22:27,840 The only reason it doesn't have more overseas military bases 309 00:22:27,840 --> 00:22:31,120 is because there haven't been enough countries that have been willing 310 00:22:31,120 --> 00:22:34,680 to supply them, and Belt and Road is an answer to that supply problem. 311 00:22:35,760 --> 00:22:39,440 The Chinese government says China accounts for 312 00:22:39,440 --> 00:22:42,680 only 10% of all Sri Lanka's external debts. 313 00:22:42,680 --> 00:22:46,320 It says the leaders of Sri Lanka have repeatedly refuted 314 00:22:46,320 --> 00:22:49,800 the allegations that China has set up a debt trap 315 00:22:49,800 --> 00:22:52,600 and the country was forced to sell its port. 316 00:22:52,600 --> 00:22:54,920 And rather than setting traps, 317 00:22:54,920 --> 00:22:58,760 Belt and Road is committed to enlarging the economic pie 318 00:22:58,760 --> 00:23:01,560 in the interest of development of all countries. 319 00:23:03,200 --> 00:23:07,040 It says there is no military intention behind Belt and Road. 320 00:23:10,600 --> 00:23:12,480 But there's little doubt 321 00:23:12,480 --> 00:23:16,560 that Xi Jinping is now using China's military more assertively. 322 00:23:18,040 --> 00:23:24,120 China has many American warships and missiles pointed at China... 323 00:23:25,560 --> 00:23:28,560 ..from the Korean peninsula to Japan, 324 00:23:28,560 --> 00:23:30,200 in the Pacific. 325 00:23:30,200 --> 00:23:31,920 If you were China, 326 00:23:31,920 --> 00:23:34,400 wouldn't you be worried? 327 00:23:34,400 --> 00:23:37,840 You would carefully think about defence 328 00:23:37,840 --> 00:23:43,560 and, yes, I believe that China wants to oust American presence 329 00:23:43,560 --> 00:23:45,440 and influence in the Asia Pacific. 330 00:23:45,440 --> 00:23:47,920 A big day for trade, a big day for our country... 331 00:23:47,920 --> 00:23:52,120 The Trump administration was preparing for action. 332 00:23:52,120 --> 00:23:54,600 One of the very early meetings 333 00:23:54,600 --> 00:23:57,360 on national security as I joined 334 00:23:57,360 --> 00:23:59,440 the administration 335 00:23:59,440 --> 00:24:01,640 was on a China strategy. 336 00:24:01,640 --> 00:24:03,760 And as we were doing this work 337 00:24:03,760 --> 00:24:06,680 across the departments and agencies 338 00:24:06,680 --> 00:24:11,240 and in collaboration with allies and partners, I think all of us 339 00:24:11,240 --> 00:24:15,520 recognised we were about to effect one of the most significant changes 340 00:24:15,520 --> 00:24:19,160 in US foreign policy since the end of the Cold War. 341 00:24:23,240 --> 00:24:29,720 Leesburg is a small town outside Washington DC - an unlikely location 342 00:24:29,720 --> 00:24:34,600 for a skirmish in the growing conflict between the US and China. 343 00:24:34,600 --> 00:24:36,760 Former CIA officer Kevin Mallory 344 00:24:36,760 --> 00:24:39,240 lived here with his wife and children. 345 00:24:42,960 --> 00:24:46,720 Lifelong Leesburg resident Frederick Cox knew him. 346 00:24:47,920 --> 00:24:52,080 In 2017, when a storm tossed a large tree onto his house, 347 00:24:52,080 --> 00:24:54,880 it was Mallory who came to lend a hand. 348 00:24:54,880 --> 00:24:56,560 He had helped me 349 00:24:56,560 --> 00:24:58,960 when I was in need of assistance. 350 00:25:00,400 --> 00:25:02,800 And he had helped without being asked, 351 00:25:02,800 --> 00:25:04,840 and I was impressed with that. 352 00:25:06,080 --> 00:25:07,120 He just showed up. 353 00:25:07,120 --> 00:25:09,760 He and his kids just showed up and did the work and left. 354 00:25:09,760 --> 00:25:12,680 I thought he was a good family man and his kids 355 00:25:12,680 --> 00:25:14,600 were well-behaved. 356 00:25:17,560 --> 00:25:20,120 On 24th May, 2017, 357 00:25:20,120 --> 00:25:24,440 Mallory told the FBI about what he said were suspicious contacts 358 00:25:24,440 --> 00:25:26,600 from Chinese head-hunters. 359 00:25:27,840 --> 00:25:32,200 He was looking for work and said they had approached him on LinkedIn. 360 00:25:32,200 --> 00:25:34,760 He said, hey, will you join my network? He said, basically, 361 00:25:34,760 --> 00:25:39,200 I can tell he's a head-hunter in a smaller firm - not his own. 362 00:25:39,200 --> 00:25:42,840 The Chinese have specifically started targeting - via things 363 00:25:42,840 --> 00:25:45,800 like LinkedIn and other professional networking sites - 364 00:25:45,800 --> 00:25:48,440 former cleared US government employees. 365 00:25:48,440 --> 00:25:50,400 You know, you can see my military experience, 366 00:25:50,400 --> 00:25:51,800 you can see internationally, 367 00:25:51,800 --> 00:25:53,680 you can see I worked at the State Department. 368 00:25:53,680 --> 00:25:55,200 You can't see, you know, 369 00:25:55,200 --> 00:25:57,480 I worked at the agency or as an agency officer. 370 00:25:57,480 --> 00:26:00,240 The profiles that they put up online will frequently give 371 00:26:00,240 --> 00:26:03,400 all the indicators that the Chinese need to figure out whether or not 372 00:26:03,400 --> 00:26:06,400 they had clearances, if they were in positions of trust - positions 373 00:26:06,400 --> 00:26:08,120 that would be beneficial to the Chinese. 374 00:26:08,120 --> 00:26:12,720 Anybody who has a refined eye sees those kinds of things, you know. 375 00:26:12,720 --> 00:26:15,800 If I'm trying to get a job, you've got to kind of say something. 376 00:26:17,400 --> 00:26:21,440 Mallory told the FBI that this head-hunter, who said he worked 377 00:26:21,440 --> 00:26:24,520 for the Shanghai Academy of Social Sciences, 378 00:26:24,520 --> 00:26:27,080 arranged for him to fly to China for a meeting. 379 00:26:28,360 --> 00:26:31,400 Mallory said he grew suspicious when he was asked 380 00:26:31,400 --> 00:26:33,440 about his connections to the US government. 381 00:26:34,840 --> 00:26:37,920 I said, I'm no longer in the government, I'm in private industry, 382 00:26:37,920 --> 00:26:40,960 but I have tried to get a job in the administration. There's a website - 383 00:26:40,960 --> 00:26:44,160 you put in your CV, you say why you want to work for President Trump. 384 00:26:46,000 --> 00:26:47,640 The President of the United States. 385 00:26:47,640 --> 00:26:50,280 After he told them about his application to work 386 00:26:50,280 --> 00:26:52,120 for the Trump administration, 387 00:26:52,120 --> 00:26:55,200 he was offered a position as a consultant. 388 00:26:55,200 --> 00:26:58,840 To have an asset working in the White House, where 389 00:26:58,840 --> 00:27:03,040 you have classified material, you have access to decision-makers, 390 00:27:03,040 --> 00:27:05,440 access to policy being made, 391 00:27:05,440 --> 00:27:09,760 to potentially military plans, diplomatic policies 392 00:27:09,760 --> 00:27:11,800 being discussed and formulated, 393 00:27:11,800 --> 00:27:16,120 it's hard to imagine a more significant placement of an asset 394 00:27:16,120 --> 00:27:18,960 if you are a foreign intelligence service. 395 00:27:18,960 --> 00:27:21,760 What was your understanding? That you were supposed to be 396 00:27:21,760 --> 00:27:24,040 collecting printed research or you were supposed 397 00:27:24,040 --> 00:27:28,040 to be writing a paper for them, or what? It was kind of more general. 398 00:27:28,040 --> 00:27:29,520 And they kept re-emphasising, 399 00:27:29,520 --> 00:27:31,280 we just want to understand the policies, 400 00:27:31,280 --> 00:27:33,960 what the Trump administration policy would be, and so on and so on. 401 00:27:33,960 --> 00:27:35,960 For the second meeting, did you get paid? I got paid. 402 00:27:35,960 --> 00:27:38,600 How much? 15,000, plus the airfare. 403 00:27:41,280 --> 00:27:44,920 He says he became more concerned when asked about military secrets. 404 00:27:48,400 --> 00:27:52,280 Specifically information about a missile defence system 405 00:27:52,280 --> 00:27:55,080 America had deployed against China's ally, North Korea. 406 00:27:56,600 --> 00:28:00,560 My judgment is these guys worked for Chinese intelligence, 407 00:28:00,560 --> 00:28:02,200 specifically targeting... 408 00:28:03,640 --> 00:28:05,280 ..people... 409 00:28:05,280 --> 00:28:06,880 ..outside of the country. 410 00:28:06,880 --> 00:28:09,720 The actual identity of the intelligence officer 411 00:28:09,720 --> 00:28:13,280 that was handling Mr Mallory is Yang Shenxi. 412 00:28:13,280 --> 00:28:16,360 And we were actually able to obtain a photograph of them 413 00:28:16,360 --> 00:28:18,640 holding their own national ID. 414 00:28:23,320 --> 00:28:27,120 Did you ask them point-blank whether they were really government? 415 00:28:27,120 --> 00:28:30,040 Right. I asked them point-blank. And what did they say? 416 00:28:30,040 --> 00:28:32,040 I mean, they were a little bit coy. 417 00:28:32,040 --> 00:28:34,080 They were coy. They didn't deny it. 418 00:28:35,440 --> 00:28:38,320 Mallory was posing as a concerned citizen 419 00:28:38,320 --> 00:28:40,360 reporting a suspicious approach. 420 00:28:40,360 --> 00:28:42,920 But that wasn't the truth. 421 00:28:42,920 --> 00:28:46,280 He had already started spying for the Chinese. 422 00:28:47,280 --> 00:28:52,160 CCTV from a month earlier shows him at this shop, preparing to scan 423 00:28:52,160 --> 00:28:54,760 documents about two people he handled 424 00:28:54,760 --> 00:28:56,960 when he was an intelligence officer. 425 00:28:56,960 --> 00:28:58,880 Codenamed the Johnsons, 426 00:28:58,880 --> 00:29:02,800 they reportedly owned a company with a presence in China. 427 00:29:02,800 --> 00:29:06,200 Kevin Mallory chooses to send the white paper about the Johnsons, 428 00:29:06,200 --> 00:29:10,640 and a few days later attempts to send the more detailed PowerPoint 429 00:29:10,640 --> 00:29:14,640 that had more specific identifying information to the Chinese. 430 00:29:14,640 --> 00:29:16,720 To make his story more believable, 431 00:29:16,720 --> 00:29:19,000 Mallory handed the FBI a phone 432 00:29:19,000 --> 00:29:22,040 the Chinese gave him with a secret messaging application 433 00:29:22,040 --> 00:29:24,200 for sending documents. 434 00:29:25,280 --> 00:29:27,280 Did you send them anything on that phone? 435 00:29:27,280 --> 00:29:30,760 I sent some tests of some sort, just to see if I could do it right. 436 00:29:30,760 --> 00:29:33,160 And I couldn't figure it out. I messed that up. 437 00:29:34,640 --> 00:29:37,800 Cos he, you know, he wanted me to try to communicate. 438 00:29:37,800 --> 00:29:40,920 Unfortunately for Mr Mallory, the custom application 439 00:29:40,920 --> 00:29:44,160 that the Chinese had installed on the covert communication device 440 00:29:44,160 --> 00:29:46,160 to ensure those secure communications 441 00:29:46,160 --> 00:29:48,920 and the auto deleting malfunctioned. 442 00:29:48,920 --> 00:29:51,560 What Kevin Mallory wasn't expecting is that, when he logged in 443 00:29:51,560 --> 00:29:55,320 to that secure mode with FBI agents sitting there right next 444 00:29:55,320 --> 00:29:59,000 to him, it pulled up a significant amount of history. 445 00:29:59,000 --> 00:30:01,840 And, in fact, on the recording from the interview, 446 00:30:01,840 --> 00:30:04,960 Mr Mallory even said, "There's quite a lot here, 447 00:30:04,960 --> 00:30:06,320 "I'm surprised." 448 00:30:06,320 --> 00:30:09,560 What we see in the chats is you see Kevin Mallory say 449 00:30:09,560 --> 00:30:13,200 to the Chinese intelligence officer, "Your object is to gain information, 450 00:30:13,200 --> 00:30:15,640 "my object is to be paid." 451 00:30:15,640 --> 00:30:20,600 The FBI reverse-engineering expert was able to pull conversations 452 00:30:20,600 --> 00:30:24,520 out of that device and remnants of US classified documents, 453 00:30:24,520 --> 00:30:27,240 national defence information that had visible 454 00:30:27,240 --> 00:30:29,280 classification markings on them. 455 00:30:29,280 --> 00:30:33,360 A Leesburg man accused of selling top-secret documents to the Chinese 456 00:30:33,360 --> 00:30:36,600 and facing life in prison if convicted will be released... 457 00:30:36,600 --> 00:30:39,960 He was found guilty of disclosing military secrets to China. 458 00:30:41,240 --> 00:30:44,880 You can't underestimate the significance of a person 459 00:30:44,880 --> 00:30:48,400 like Kevin Mallory to the Chinese intelligence services. 460 00:30:48,400 --> 00:30:52,760 It is a success that undermines... 461 00:30:52,760 --> 00:30:55,720 ..confidence in the services, 462 00:30:55,720 --> 00:30:58,480 which is an incredibly corrosive thing to have happen, 463 00:30:58,480 --> 00:31:00,960 so it's a very big deal. 464 00:31:00,960 --> 00:31:05,480 Kevin Mallory is now serving 20 years in a federal prison. 465 00:31:06,840 --> 00:31:09,120 He seemed like a very good man 466 00:31:09,120 --> 00:31:12,120 and I must assume that, in his personal dealings, 467 00:31:12,120 --> 00:31:14,240 I guess he still is a good man, 468 00:31:14,240 --> 00:31:17,000 but in his political and professional, 469 00:31:17,000 --> 00:31:19,280 I'm ashamed of him. Yeah. 470 00:31:19,280 --> 00:31:22,320 It's hard to believe it's the same person. 471 00:31:22,320 --> 00:31:25,080 Well, that's what makes you a good spy. 472 00:31:25,080 --> 00:31:27,120 HE LAUGHS 473 00:31:28,560 --> 00:31:31,840 The Trump administration was beginning to understand 474 00:31:31,840 --> 00:31:33,680 the extent of China's efforts 475 00:31:33,680 --> 00:31:36,840 to increase its power and influence in the US. 476 00:31:38,520 --> 00:31:42,600 Including a secret campaign to silence China's critics. 477 00:31:44,400 --> 00:31:48,640 Beijing is demanding that there only be one narrative about China - 478 00:31:48,640 --> 00:31:53,560 a positive narrative about China's activities at home and abroad - 479 00:31:53,560 --> 00:31:57,600 and anyone who dares dissent from that is going to be isolated. 480 00:31:57,600 --> 00:31:59,840 They're going to be isolated online 481 00:31:59,840 --> 00:32:01,960 or they're going to be isolated in real life. 482 00:32:15,720 --> 00:32:21,600 This is Anastasia Lin - model, actress, beauty queen. 483 00:32:23,640 --> 00:32:27,240 In 2015, she won the Canadian heat of Miss World. 484 00:32:28,960 --> 00:32:32,160 Anastasia Lin! CHEERING AND APPLAUSE 485 00:32:32,160 --> 00:32:34,440 I don't know, actually, how to describe it. 486 00:32:34,440 --> 00:32:37,360 It felt like the crown was a huge responsibility. 487 00:32:38,880 --> 00:32:41,120 When Anastasia was 13, 488 00:32:41,120 --> 00:32:43,600 she and her mother left China for Canada, 489 00:32:43,600 --> 00:32:45,520 but her father stayed behind. 490 00:32:47,200 --> 00:32:50,320 She followed her dream to be an actress in the US. 491 00:32:50,320 --> 00:32:52,640 Some of the films she appeared in 492 00:32:52,640 --> 00:32:56,120 focused on Beijing's alleged human rights abuses, 493 00:32:56,120 --> 00:32:59,560 including portrayal of practitioners of Falun Gong - 494 00:32:59,560 --> 00:33:04,800 banned by the Chinese Government in 1999 as an evil cult. 495 00:33:04,800 --> 00:33:07,720 Sometimes, in the process, I have to interview people 496 00:33:07,720 --> 00:33:11,200 who actually have experienced these things in China. 497 00:33:11,200 --> 00:33:14,200 I interviewed a lot of female practitioners 498 00:33:14,200 --> 00:33:18,040 who had been tortured, electronic baton, shot... 499 00:33:19,240 --> 00:33:21,080 ..raped... 500 00:33:21,080 --> 00:33:23,920 ..bamboo sticks stuck under fingernails, 501 00:33:23,920 --> 00:33:25,960 force-feeding. 502 00:33:25,960 --> 00:33:28,840 Anastasia herself practises Falun Gong. 503 00:33:30,840 --> 00:33:33,080 Shortly after her Miss World win, 504 00:33:33,080 --> 00:33:37,120 she was alarmed by a text message from her father back in China. 505 00:33:37,120 --> 00:33:40,720 The national security guard has already came to him 506 00:33:40,720 --> 00:33:45,080 and they said that if I don't stop talking about politics, 507 00:33:45,080 --> 00:33:48,280 human rights and related topics, 508 00:33:48,280 --> 00:33:50,560 then my family would be persecuted 509 00:33:50,560 --> 00:33:53,200 like in the Cultural Revolution in China. 510 00:33:53,200 --> 00:33:56,240 And I asked him, "Did they threaten you?" 511 00:33:56,240 --> 00:33:59,280 And then he said, "Don't ask any more. 512 00:33:59,280 --> 00:34:02,560 "Leave us a way to survive, please." 513 00:34:02,560 --> 00:34:05,600 Anastasia was due to take part in the final 514 00:34:05,600 --> 00:34:08,480 of the Miss World competition in Australia. 515 00:34:08,480 --> 00:34:11,200 Two weeks after I won Miss World Canada, 516 00:34:11,200 --> 00:34:13,680 and after they threatened my family, 517 00:34:13,680 --> 00:34:16,480 the location changed to Sanya, China. 518 00:34:16,480 --> 00:34:18,000 And so I was... 519 00:34:19,360 --> 00:34:23,280 I was really nervous because after they just threatened my dad, 520 00:34:23,280 --> 00:34:25,520 I wasn't sure what was going to happen. 521 00:34:25,520 --> 00:34:28,320 As the competition approached, she realised 522 00:34:28,320 --> 00:34:29,760 she was the only contestant 523 00:34:29,760 --> 00:34:31,560 not to have received her invitation 524 00:34:31,560 --> 00:34:33,600 from the Chinese. 525 00:34:33,600 --> 00:34:36,680 Undaunted, she boarded a plane to Hong Kong, 526 00:34:36,680 --> 00:34:39,560 hoping she could get a visa for China when she got there. 527 00:34:39,560 --> 00:34:42,120 They did this, "Ah... 528 00:34:42,120 --> 00:34:43,600 "No, you cannot go." 529 00:34:43,600 --> 00:34:45,720 And I asked them what's the reason? And they said, 530 00:34:45,720 --> 00:34:48,240 "No, there's no reason given," and they hung up the phone. 531 00:34:48,240 --> 00:34:51,280 Denied a visa by China after publicly criticising 532 00:34:51,280 --> 00:34:52,920 that country's human rights record. 533 00:34:52,920 --> 00:34:55,280 There's one contestant missing from the event 534 00:34:55,280 --> 00:34:57,480 and that would be Miss World Canada. 535 00:34:57,480 --> 00:34:59,880 She's been stopped from travelling within China 536 00:34:59,880 --> 00:35:02,120 to take part in the pageant. 537 00:35:02,120 --> 00:35:06,640 Anastasia decided she had to continue speaking out. 538 00:35:06,640 --> 00:35:09,320 If I go public with my story, 539 00:35:09,320 --> 00:35:12,440 then there's a chance that my family will be more protected in China 540 00:35:12,440 --> 00:35:15,880 because of the international media attention. 541 00:35:15,880 --> 00:35:18,520 And that decision resulted in an opportunity 542 00:35:18,520 --> 00:35:23,160 to talk in the US Congress about China's interference operations. 543 00:35:25,200 --> 00:35:28,640 I felt like for the first time I was doing the right thing in my life 544 00:35:28,640 --> 00:35:30,640 and I need to do this. 545 00:35:30,640 --> 00:35:33,360 Religious freedom and human rights 546 00:35:33,360 --> 00:35:37,600 doesn't really just affect people that are living in China. 547 00:35:39,520 --> 00:35:43,920 They affect every Chinese who still have loved ones there. 548 00:35:43,920 --> 00:35:45,960 It would be shocking to a lot of Americans to know 549 00:35:45,960 --> 00:35:47,760 there are people living in this country - 550 00:35:47,760 --> 00:35:49,600 perhaps American citizens - 551 00:35:49,600 --> 00:35:53,040 who are being extorted and/or blackmailed 552 00:35:53,040 --> 00:35:54,640 through the safety or... 553 00:35:54,640 --> 00:35:57,800 ..by the safety or security of their own relatives back in China. 554 00:36:01,960 --> 00:36:03,800 She continues her campaigning. 555 00:36:06,240 --> 00:36:10,440 Should we sacrifice human rights in pursuit of trade? 556 00:36:10,440 --> 00:36:14,280 Should we accept that a cost of doing business there 557 00:36:14,280 --> 00:36:18,640 is that we must ignore the suffering of millions of people? 558 00:36:18,640 --> 00:36:22,320 But the pressure exerted on her father has been costly. 559 00:36:23,760 --> 00:36:26,360 My father was a very successful businessman. 560 00:36:26,360 --> 00:36:28,200 He had a huge company. 561 00:36:28,200 --> 00:36:30,240 His business partners started to sue him 562 00:36:30,240 --> 00:36:34,080 and he was bankrupt after a couple of years. 563 00:36:34,080 --> 00:36:36,720 He's very scared to talk on the phone. 564 00:36:36,720 --> 00:36:39,880 I could never get a full picture of how much pressure he was under. 565 00:36:41,720 --> 00:36:44,240 The Chinese Communist Party know how to target 566 00:36:44,240 --> 00:36:46,080 a person's most vulnerable spot. 567 00:36:47,280 --> 00:36:50,160 Intimidating individuals is just one of the tactics 568 00:36:50,160 --> 00:36:54,640 that critics say China uses to extend its influence overseas. 569 00:36:56,080 --> 00:36:58,920 In the US government, there was also growing concern 570 00:36:58,920 --> 00:37:02,200 about China's attempts to undermine its allies 571 00:37:02,200 --> 00:37:05,120 though an organisation called the United Front. 572 00:37:07,000 --> 00:37:11,720 The United Front is a propaganda arm of the Chinese Communist Party. 573 00:37:11,720 --> 00:37:16,960 Under Xi Jinping, that United Front has gone on the offensive, 574 00:37:16,960 --> 00:37:20,520 on the offensive to undermine our confidence 575 00:37:20,520 --> 00:37:23,600 in our democratic principles, our institutions. 576 00:37:31,480 --> 00:37:36,760 Every two years US forces travel to Australia to conduct war games. 577 00:37:36,760 --> 00:37:40,080 The countries have been close allies for 70 years. 578 00:37:41,320 --> 00:37:44,760 But Australia also has deep trade ties with China - 579 00:37:44,760 --> 00:37:46,920 making it vulnerable, some say, 580 00:37:46,920 --> 00:37:49,480 to the influence operations of the United Front. 581 00:37:52,040 --> 00:37:55,960 China wants to weaken and potentially dissolve 582 00:37:55,960 --> 00:37:59,400 Australia's security alliance with the United States. 583 00:37:59,400 --> 00:38:03,280 China recognises that Australia is a genuine anchor 584 00:38:03,280 --> 00:38:08,280 to the American alliance system in Asia, in the Indo-Pacific region, 585 00:38:08,280 --> 00:38:11,200 which in turn balances Chinese power 586 00:38:11,200 --> 00:38:14,840 and prevents further coercive or aggressive action by China 587 00:38:14,840 --> 00:38:16,880 into the future. 588 00:38:16,880 --> 00:38:19,680 President Xi has revitalised the United Front 589 00:38:19,680 --> 00:38:21,560 which has been around for decades. 590 00:38:21,560 --> 00:38:25,800 It's the perfect instrument for trying to extend Chinese influence 591 00:38:25,800 --> 00:38:30,080 in countries that before had never really experienced 592 00:38:30,080 --> 00:38:36,360 the full weight of China's attempts to actually sway public opinion 593 00:38:36,360 --> 00:38:40,200 by influence, capture politicians, and the like. 594 00:38:45,600 --> 00:38:50,200 In 2015, Australia's intelligence agency known, as ASIO, 595 00:38:50,200 --> 00:38:54,240 warned politicians about a secret strategy by Beijing 596 00:38:54,240 --> 00:38:57,480 to wield influence in politics. 597 00:38:57,480 --> 00:39:01,760 ASIO briefed political parties about the risks of accepting donations 598 00:39:01,760 --> 00:39:05,000 from wealthy businessmen with links to the Chinese government. 599 00:39:06,520 --> 00:39:10,360 It is very clear that genuine concerns were held 600 00:39:10,360 --> 00:39:13,600 at a very high level within the security community, 601 00:39:13,600 --> 00:39:16,040 within the classified space, 602 00:39:16,040 --> 00:39:20,000 about the risks that Australian political parties were taking 603 00:39:20,000 --> 00:39:24,320 in accepting or soliciting very large sums of money. 604 00:39:24,320 --> 00:39:27,840 Journalists found out about ASIO's secret briefings 605 00:39:27,840 --> 00:39:29,760 and began investigating. 606 00:39:29,760 --> 00:39:32,840 Nick Mckenzie was one of them. 607 00:39:32,840 --> 00:39:35,040 They discovered that one of the Chinese donors 608 00:39:35,040 --> 00:39:37,200 ASIO had issued a warning about 609 00:39:37,200 --> 00:39:40,760 was a billionaire called Huang Xiangmo. 610 00:39:40,760 --> 00:39:44,960 Huang Xiangmo was a very, very wealthy Chinese property developer, 611 00:39:44,960 --> 00:39:48,040 came to Australia in 2011 as a nobody 612 00:39:48,040 --> 00:39:51,040 from Guangdong in southern China. 613 00:39:51,040 --> 00:39:53,760 Within months, began splashing around money 614 00:39:53,760 --> 00:39:56,000 like you would not believe. 615 00:39:56,000 --> 00:40:01,480 Huang Xiangmo is openly a fierce supporter of the Chinese government. 616 00:40:01,480 --> 00:40:04,920 But more than that, he was the head of the key Chinese government 617 00:40:04,920 --> 00:40:08,160 influence organisation in Australia and Sydney. 618 00:40:08,160 --> 00:40:11,440 It's called the Australian Council 619 00:40:11,440 --> 00:40:14,440 for the Promotion of the Peaceful Reunification of China, 620 00:40:14,440 --> 00:40:17,720 and experts say it is part of the United Front. 621 00:40:19,160 --> 00:40:22,960 TRANSLATION: We overseas Chinese unswervingly support 622 00:40:22,960 --> 00:40:26,840 the Chinese government's decision to defend our nation's sovereignty 623 00:40:26,840 --> 00:40:28,880 and territorial integrity. 624 00:40:28,880 --> 00:40:31,600 Three, two, one... 625 00:40:33,360 --> 00:40:37,040 Huang Xiangmo weaponised money, he weaponised political donations, 626 00:40:37,040 --> 00:40:40,400 he used donations spreading across the political landscape 627 00:40:40,400 --> 00:40:43,920 on both sides of the aisle to gain this extraordinary access. 628 00:40:43,920 --> 00:40:45,760 The question is - why? 629 00:40:45,760 --> 00:40:48,480 Nick Mckenzie went digging for answers. 630 00:40:50,440 --> 00:40:53,880 And it was in Labor - Australia's main opposition party - 631 00:40:53,880 --> 00:40:56,760 where crucial details would emerge. 632 00:40:56,760 --> 00:41:00,880 If Huang Xiangmo had one great friend in Australian politics, 633 00:41:00,880 --> 00:41:03,160 it was the Labor Party's Sam Dastyari. 634 00:41:03,160 --> 00:41:05,640 He was a young senator, an up-and-comer, 635 00:41:05,640 --> 00:41:06,880 he had a great promise 636 00:41:06,880 --> 00:41:09,600 and he also had a key role for the Labor Party in fundraising, 637 00:41:09,600 --> 00:41:13,360 and that role put him into Huang Xiangmo's orbit. 638 00:41:13,360 --> 00:41:17,080 A demonstration, Mr Huang, of how highly you're respected 639 00:41:17,080 --> 00:41:21,240 and how much all of us respect you and the work you do. 640 00:41:21,240 --> 00:41:25,760 It emerged that Huang paid a $5,000 legal bill for Labor. 641 00:41:27,000 --> 00:41:30,400 He reportedly began asking Dastyari for favours. 642 00:41:31,640 --> 00:41:32,880 We know some of those favours 643 00:41:32,880 --> 00:41:34,720 included requests from Huang Xiangmo 644 00:41:34,720 --> 00:41:37,440 for Sam Dastyari to see if he could move along 645 00:41:37,440 --> 00:41:39,200 his citizenship application. 646 00:41:39,200 --> 00:41:41,960 Sam Dastyari did call our Immigration Department 647 00:41:41,960 --> 00:41:44,040 but that never really went anywhere. 648 00:41:44,040 --> 00:41:46,200 Dastyari's willingness to help 649 00:41:46,200 --> 00:41:48,920 led to the prospect of a larger donation. 650 00:41:50,240 --> 00:41:54,000 We found evidence that Huang Xiangmo had offered the Labor Party 651 00:41:54,000 --> 00:41:56,000 a $400,000 donation 652 00:41:56,000 --> 00:41:58,480 but set a condition to that donation. 653 00:41:59,920 --> 00:42:04,320 And it's reasonable to conclude that the intention of that donation 654 00:42:04,320 --> 00:42:07,400 was to change the Australian Labor Party's policy 655 00:42:07,400 --> 00:42:10,080 to support China and China's claim 656 00:42:10,080 --> 00:42:12,840 to the whole of the South China Sea, 657 00:42:12,840 --> 00:42:15,720 against the sovereign interests of several other countries. 658 00:42:17,080 --> 00:42:21,400 But Huang's plan to influence Labor policy was set back 659 00:42:21,400 --> 00:42:24,880 when Labor's defence spokesman made this announcement. 660 00:42:24,880 --> 00:42:28,280 When it comes to regional security challenges, 661 00:42:28,280 --> 00:42:30,480 like the South China Sea, 662 00:42:30,480 --> 00:42:35,040 we believe our defence force should be authorised to conduct 663 00:42:35,040 --> 00:42:40,080 freedom of navigation operations consistent with international law. 664 00:42:40,080 --> 00:42:41,920 Now, once the Labor Party spoke out 665 00:42:41,920 --> 00:42:43,240 about the South China Sea 666 00:42:43,240 --> 00:42:45,840 in terms that the Chinese government would be critical of, 667 00:42:45,840 --> 00:42:48,320 suddenly that promised donation was withdrawn. 668 00:42:48,320 --> 00:42:50,600 So the evidence we had very clearly had a link 669 00:42:50,600 --> 00:42:52,560 between this offered donation 670 00:42:52,560 --> 00:42:54,320 of $400,000 - a huge amount - 671 00:42:54,320 --> 00:42:56,960 and a key political party's view 672 00:42:56,960 --> 00:42:58,800 on a territorial issue 673 00:42:58,800 --> 00:43:01,440 of core concern to the Chinese government. 674 00:43:01,440 --> 00:43:03,520 So there you have money and access 675 00:43:03,520 --> 00:43:05,480 and money and the influencing 676 00:43:05,480 --> 00:43:07,280 or an attempt to influence 677 00:43:07,280 --> 00:43:09,200 Australian policy. 678 00:43:09,200 --> 00:43:13,840 The next day, Huang turned up with Dastyari for a press conference. 679 00:43:13,840 --> 00:43:18,280 Sam Dastyari parroted the talking points on the South China Sea 680 00:43:18,280 --> 00:43:20,280 of the Chinese Communist Party. 681 00:43:20,280 --> 00:43:23,000 He did it standing next to Huang Xiangmo, 682 00:43:23,000 --> 00:43:24,400 this man who he had encouraged 683 00:43:24,400 --> 00:43:25,640 to give so much money 684 00:43:25,640 --> 00:43:27,680 to his political party, the Labor Party. 685 00:43:27,680 --> 00:43:31,520 Dastyari's contradiction of his own party's policy 686 00:43:31,520 --> 00:43:33,920 was seized on by the press. 687 00:43:33,920 --> 00:43:38,240 The truth about his relationship with Huang was beginning to emerge. 688 00:43:38,240 --> 00:43:40,880 Why did you... Sorry, Andrew. ..hold that press conference 689 00:43:40,880 --> 00:43:43,480 and make those comments on the South China Sea? 690 00:43:43,480 --> 00:43:47,040 OK, I'm not... I'm not... I ca... 691 00:43:47,040 --> 00:43:50,800 While I can't be held directly to words 692 00:43:50,800 --> 00:43:53,120 that were held at a press conference 693 00:43:53,120 --> 00:43:56,560 that I don't have a transcription of in front of me... Let me be clear. 694 00:43:56,560 --> 00:44:00,800 I support the Labor Party position on this issue. 695 00:44:00,800 --> 00:44:02,800 Why did you hold the press conference, then? 696 00:44:02,800 --> 00:44:04,320 No, no, no. Andrew, Andrew... 697 00:44:04,320 --> 00:44:06,240 We'd like to ask you about your relationship 698 00:44:06,240 --> 00:44:07,640 to the Chinese Communist Party 699 00:44:10,800 --> 00:44:13,400 Why have you asked Australian politicians 700 00:44:13,400 --> 00:44:15,560 to help you get a passport? 701 00:44:19,240 --> 00:44:22,000 At Dastyari's last meeting with Huang, 702 00:44:22,000 --> 00:44:26,160 it became clear just how much he'd been compromised. 703 00:44:26,160 --> 00:44:29,160 We know there was a meeting between Huang Xiangmo and Sam Dastyari 704 00:44:29,160 --> 00:44:31,200 where Sam Dastyari tipped off 705 00:44:31,200 --> 00:44:32,800 or told Huang Xiangmo 706 00:44:32,800 --> 00:44:34,640 it was likely his phones were being tapped 707 00:44:34,640 --> 00:44:36,920 by Western spy agencies. 708 00:44:36,920 --> 00:44:39,360 This has been a difficult week, 709 00:44:39,360 --> 00:44:43,840 and this afternoon I've made a difficult decision. 710 00:44:43,840 --> 00:44:47,320 Today I spoke to my leader, Bill Shorten, 711 00:44:47,320 --> 00:44:50,520 and offered my resignation from the front bench, 712 00:44:50,520 --> 00:44:51,920 which he accepted. 713 00:44:53,080 --> 00:44:55,600 Sam Dastyari really did Australia a favour 714 00:44:55,600 --> 00:44:57,600 in a very strange kind of way. 715 00:44:57,600 --> 00:44:59,760 His willingness to solicit 716 00:44:59,760 --> 00:45:02,920 and accept Chinese political donations 717 00:45:02,920 --> 00:45:07,200 and to spout Chinese talking points on sensitive issues 718 00:45:07,200 --> 00:45:10,680 and then, reportedly, to offer counterintelligence advice 719 00:45:10,680 --> 00:45:14,080 to his Chinese donor and benefactor - 720 00:45:14,080 --> 00:45:17,720 these were all glaring wake-up calls 721 00:45:17,720 --> 00:45:19,680 to Australia and to the world. 722 00:45:19,680 --> 00:45:22,000 The Prime Minister. 723 00:45:22,000 --> 00:45:26,280 Thank you, Mr Speaker, I move this bill be now read a second time. 724 00:45:26,280 --> 00:45:28,920 Prime Minister Malcolm Turnbull commissioned a report 725 00:45:28,920 --> 00:45:31,840 into interference operations by China. 726 00:45:31,840 --> 00:45:34,640 ..none will fully succeed without the others... 727 00:45:34,640 --> 00:45:37,240 It was never made public, 728 00:45:37,240 --> 00:45:40,920 but after Turnbull received it he announced sweeping reforms 729 00:45:40,920 --> 00:45:43,560 to Australia's foreign interference laws, 730 00:45:43,560 --> 00:45:45,960 and new powers for prosecuting acts of espionage. 731 00:45:47,160 --> 00:45:49,840 Today I'm introducing legislation to counter the threat 732 00:45:49,840 --> 00:45:51,560 of foreign states. 733 00:45:51,560 --> 00:45:55,360 Now, media reports have suggested that the Chinese Communist Party 734 00:45:55,360 --> 00:45:58,080 has been working covertly to interfere with the decisions 735 00:45:58,080 --> 00:46:00,200 of elected representatives. 736 00:46:00,200 --> 00:46:02,960 But six months later Turnbull lost his job, 737 00:46:02,960 --> 00:46:06,080 and so far no-one has been charged 738 00:46:06,080 --> 00:46:08,120 under these new laws. 739 00:46:08,120 --> 00:46:10,960 Our politicians today 740 00:46:10,960 --> 00:46:13,800 are extremely reluctant to call out the Chinese government. 741 00:46:13,800 --> 00:46:16,280 In Australia, they are absolutely petrified 742 00:46:16,280 --> 00:46:19,480 there'll be some sort of an economic reaction, a consequence, 743 00:46:19,480 --> 00:46:22,960 even if what they're calling out is egregious behaviour. 744 00:46:24,520 --> 00:46:27,680 The Chinese billionaire donor, Huang Xiangmo, 745 00:46:27,680 --> 00:46:30,440 has, however, been barred from re-entering Australia 746 00:46:30,440 --> 00:46:32,280 after travelling abroad. 747 00:46:36,120 --> 00:46:38,120 The Chinese government says, 748 00:46:38,120 --> 00:46:41,600 "Some have described China's normal economic cooperation 749 00:46:41,600 --> 00:46:44,280 "and cultural exchanges with other countries 750 00:46:44,280 --> 00:46:47,560 "as subversion, bullying and pressure. 751 00:46:47,560 --> 00:46:50,240 "This sheer prejudice is utterly unacceptable. 752 00:46:51,600 --> 00:46:55,040 "They have turned a blind eye to the abundant opportunities brought 753 00:46:55,040 --> 00:46:58,320 "about by China's pursuit of peaceful development." 754 00:46:58,320 --> 00:47:00,440 I think Australia is in many ways 755 00:47:00,440 --> 00:47:02,920 the canary in the coal mine. 756 00:47:02,920 --> 00:47:05,920 I would be quite astounded if the dynamics we're seeing 757 00:47:05,920 --> 00:47:08,080 in Australia are not happening in other countries. 758 00:47:08,080 --> 00:47:11,520 There are a whole lot of other countries that have been slower 759 00:47:11,520 --> 00:47:15,400 than Australia to recognise the security risks that China's power 760 00:47:15,400 --> 00:47:17,400 brings with it. 761 00:47:17,400 --> 00:47:20,200 Xi Jinping's assertive foreign policy 762 00:47:20,200 --> 00:47:22,960 was now facing growing pushback. 763 00:47:22,960 --> 00:47:27,200 In the West, the talk of cooperation was increasingly replaced 764 00:47:27,200 --> 00:47:30,960 by expressions of resistance to Chinese government influence 765 00:47:30,960 --> 00:47:32,840 and power. 766 00:47:32,840 --> 00:47:37,000 But there was one place where President Xi seemed determined 767 00:47:37,000 --> 00:47:39,120 to extend his government's reach... 768 00:47:48,280 --> 00:47:51,680 Five years after the pro-democracy demonstrations in Hong Kong... 769 00:47:54,600 --> 00:47:58,640 ..the authorities prosecuted Benny Tai and other protest leaders. 770 00:47:59,840 --> 00:48:02,280 They were accused of creating a public nuisance. 771 00:48:26,400 --> 00:48:29,160 ARCHIVE NEWS: A court in Hong Kong has jailed four prominent leaders 772 00:48:29,160 --> 00:48:31,560 of the pro-democracy movement for their roles 773 00:48:31,560 --> 00:48:33,960 in organising mass protests five years ago. 774 00:48:37,240 --> 00:48:39,520 Benny was sent to prison for 16 months. 775 00:48:42,320 --> 00:48:46,400 The imprisonment of the leaders was meant as a message by Beijing 776 00:48:46,400 --> 00:48:48,760 to whoever in Hong Kong... 777 00:48:49,840 --> 00:48:52,680 ..dare to challenge Chinese sovereignty, 778 00:48:52,680 --> 00:48:54,760 that they will be dealt with 779 00:48:54,760 --> 00:48:56,880 the full vigour of the law. 780 00:48:59,760 --> 00:49:01,640 But if the prosecutions were an attempt 781 00:49:01,640 --> 00:49:03,960 to frighten people in Hong Kong, 782 00:49:03,960 --> 00:49:05,280 it didn't work. 783 00:49:14,800 --> 00:49:18,080 Hundreds of thousands came onto the streets to protest 784 00:49:18,080 --> 00:49:20,280 against proposed changes to the law 785 00:49:20,280 --> 00:49:23,720 that would enable China to extradite people from Hong Kong 786 00:49:23,720 --> 00:49:25,760 to stand trial in the mainland. 787 00:49:30,160 --> 00:49:34,480 We're having a massive rally fighting for our freedom 788 00:49:34,480 --> 00:49:36,720 and also fighting for our rights 789 00:49:36,720 --> 00:49:38,560 to protect Hong Kong. 790 00:49:40,240 --> 00:49:43,440 Nathan Law was once again at the forefront of the protests. 791 00:49:47,280 --> 00:49:51,560 The reason why people marched out is because they wanted to oppose 792 00:49:51,560 --> 00:49:56,480 the extradition bill which allows Beijing to kind of legalise 793 00:49:56,480 --> 00:49:57,960 the kidnapping. 794 00:49:57,960 --> 00:50:01,920 The crux of one country, two systems is, while we remain 795 00:50:01,920 --> 00:50:04,160 separated from the system of China, 796 00:50:04,160 --> 00:50:06,920 we can preserve our way of life and freedom. 797 00:50:08,680 --> 00:50:13,080 For many, the bill was a lightning rod for discontent with Beijing's 798 00:50:13,080 --> 00:50:14,800 tightening grip on Hong Kong. 799 00:50:19,120 --> 00:50:22,200 The mood on the streets was very different to 2014. 800 00:50:41,040 --> 00:50:44,280 Three days later, there was another massive protest. 801 00:50:46,160 --> 00:50:48,640 NEWS ARCHIVE: They arrived early to stake out their territory 802 00:50:48,640 --> 00:50:50,720 with improvised barricades. 803 00:50:56,160 --> 00:50:58,400 By mid-morning, their numbers were swelling. 804 00:51:00,960 --> 00:51:05,000 They're bringing up reinforcements of supplies 805 00:51:05,000 --> 00:51:07,320 up to where the police line is just over there. 806 00:51:12,160 --> 00:51:14,280 Today, the mood feels more radical. 807 00:51:21,120 --> 00:51:23,600 The police response was uncompromising - 808 00:51:23,600 --> 00:51:25,160 rubber bullets 809 00:51:25,160 --> 00:51:27,640 and 150 canisters of tear gas. 810 00:51:29,800 --> 00:51:33,600 I was in the nearby area and heard gunshots 811 00:51:33,600 --> 00:51:38,200 and experienced all this tear-gas stuff. 812 00:51:38,200 --> 00:51:42,640 I was really, really shocked that the police decided to use 813 00:51:42,640 --> 00:51:44,960 such a high degree of violence. 814 00:51:48,240 --> 00:51:50,400 It was quite a chaotic scene. 815 00:51:50,400 --> 00:51:52,200 Some may see it as a war zone. 816 00:51:55,280 --> 00:51:58,680 Four days later, protesters staged what they said 817 00:51:58,680 --> 00:52:01,080 was the biggest rally in Hong Kong's history. 818 00:52:02,600 --> 00:52:05,360 Organisers said 2 million people were in the streets. 819 00:52:12,280 --> 00:52:16,560 With the protests escalating, Hong Kong's chief executive Carrie Lam 820 00:52:16,560 --> 00:52:18,920 suspended the extradition bill. 821 00:52:18,920 --> 00:52:22,000 I personally have to shoulder 822 00:52:22,000 --> 00:52:23,960 much of the responsibility. 823 00:52:25,160 --> 00:52:27,360 This has led to controversies, 824 00:52:27,360 --> 00:52:30,160 disputes and anxieties in society. 825 00:52:31,160 --> 00:52:32,840 For this, 826 00:52:32,840 --> 00:52:35,680 I offer my most sincere apology. 827 00:52:37,040 --> 00:52:40,520 But she stopped short of withdrawing the bill in Hong Kong's Parliament. 828 00:52:42,920 --> 00:52:44,800 The protests escalated. 829 00:52:47,400 --> 00:52:49,880 Demonstrators stormed the parliament building. 830 00:52:50,880 --> 00:52:52,120 You can see these... 831 00:52:53,160 --> 00:52:56,640 ..more radical activists, they've just broken through the window 832 00:52:56,640 --> 00:52:58,600 of the LegCo building here behind me. 833 00:52:58,600 --> 00:53:02,120 They've managed to smash through this toughened glass 834 00:53:02,120 --> 00:53:04,720 and they're now trying to get inside the LegCo building. 835 00:53:11,840 --> 00:53:13,360 We love Hong Kong 836 00:53:13,360 --> 00:53:15,760 and we want Hong Kong to stay Hong Kong. 837 00:53:15,760 --> 00:53:17,920 We don't want Hong Kong to become China. 838 00:53:17,920 --> 00:53:19,600 We want our freedom. 839 00:53:20,680 --> 00:53:24,200 This movement has now morphed into a full-fledged 840 00:53:24,200 --> 00:53:26,280 demand for democracy... 841 00:53:27,760 --> 00:53:31,200 ..and the pressure is now on Beijing. 842 00:53:33,840 --> 00:53:36,640 Well, this has been simmering all day and now it's erupting. 843 00:53:36,640 --> 00:53:39,040 Police are arresting demonstrators. 844 00:53:40,520 --> 00:53:43,000 Some seem to be injured. 845 00:53:43,000 --> 00:53:45,520 Others choking back tear gas. 846 00:53:45,520 --> 00:53:47,080 This is chaos! 847 00:53:53,320 --> 00:53:56,360 In August, a propaganda video appeared 848 00:53:56,360 --> 00:53:59,360 featuring the Chinese troops stationed in Hong Kong. 849 00:54:02,520 --> 00:54:05,200 It is pretty much an ultimatum. 850 00:54:05,200 --> 00:54:08,280 It is Xi Jinping saying that, if you don't stop, 851 00:54:08,280 --> 00:54:11,160 members of the garrison might be mobilised. 852 00:54:11,160 --> 00:54:16,040 It's a decision which will show everybody that Beijing 853 00:54:16,040 --> 00:54:19,920 has failed dismally to win hearts and minds in Hong Kong 854 00:54:19,920 --> 00:54:22,720 and it has to resort to brute force 855 00:54:22,720 --> 00:54:24,560 to enforce law and order. 856 00:54:30,800 --> 00:54:34,320 Day by day, the situation became more chaotic. 857 00:54:42,040 --> 00:54:43,720 The Beijing government 858 00:54:43,720 --> 00:54:46,120 issued stark warnings to the protesters. 859 00:54:55,600 --> 00:54:57,880 But they had little effect. 860 00:54:57,880 --> 00:55:00,280 Some protests became more violent. 861 00:55:02,560 --> 00:55:04,560 This was the day a self-styled democracy movement 862 00:55:04,560 --> 00:55:06,320 came close to mob violence. 863 00:55:07,280 --> 00:55:08,800 Fearful of infiltrators, 864 00:55:08,800 --> 00:55:11,080 protesters seized individuals 865 00:55:11,080 --> 00:55:13,280 they believed were undercover Chinese officers. 866 00:55:14,560 --> 00:55:18,320 With emotions so raw, it was hard to restrain them. 867 00:55:21,040 --> 00:55:25,280 For a second day, they'd occupied the airport and shut it down. 868 00:55:25,280 --> 00:55:27,960 It's a humiliation for China, 869 00:55:27,960 --> 00:55:31,160 which has warned that its patience is running out. 870 00:55:34,680 --> 00:55:38,280 The demonstrations are the most significant ever challenge 871 00:55:38,280 --> 00:55:40,000 to Xi Jinping's authority. 872 00:55:43,800 --> 00:55:47,840 The power differences between Hong Kong people and China is so huge 873 00:55:47,840 --> 00:55:50,880 that a positive outcome... 874 00:55:51,920 --> 00:55:54,800 ..is really, really difficult to achieve. 875 00:55:54,800 --> 00:55:59,800 But we are coming out to resist not because we expect a victory - 876 00:55:59,800 --> 00:56:02,320 it's because it's right to do so. 877 00:56:03,600 --> 00:56:05,880 The Chinese government has condemned 878 00:56:05,880 --> 00:56:09,040 what it calls the radical, violent and criminal behaviour 879 00:56:09,040 --> 00:56:10,200 of some protesters. 880 00:56:10,200 --> 00:56:13,760 But the demonstrators show little sign of backing down. 881 00:56:17,040 --> 00:56:21,120 When we look at how China is handling Hong Kong, 882 00:56:21,120 --> 00:56:23,960 there are some important lessons to learn. 883 00:56:23,960 --> 00:56:25,640 China is not a democracy. 884 00:56:27,360 --> 00:56:29,880 China is a communist government 885 00:56:29,880 --> 00:56:33,160 that is an authoritarian government, 886 00:56:33,160 --> 00:56:38,240 and that they are not going to openly accept 887 00:56:38,240 --> 00:56:41,320 the freedoms and liberties 888 00:56:41,320 --> 00:56:44,080 that the United States embraces 889 00:56:44,080 --> 00:56:45,920 as part of our democracy. 890 00:56:47,040 --> 00:56:49,000 The Chinese government says 891 00:56:49,000 --> 00:56:51,080 it will stay true to one country, two systems 892 00:56:51,080 --> 00:56:54,480 and make sure that it is fully applied in Hong Kong 893 00:56:54,480 --> 00:56:56,080 without distortion. 894 00:56:57,000 --> 00:56:58,560 It says it will continue 895 00:56:58,560 --> 00:57:02,800 to unswervingly support Hong Kong's chief executive and government 896 00:57:02,800 --> 00:57:05,240 and the gradual development of democracy 897 00:57:05,240 --> 00:57:08,920 in ultimately achieving the goal of universal suffrage. 898 00:57:14,160 --> 00:57:16,640 Today, under Xi Jinping, 899 00:57:16,640 --> 00:57:19,840 China continues to grow more important and influential 900 00:57:19,840 --> 00:57:22,280 on the world stage. 901 00:57:22,280 --> 00:57:24,160 Xi Jinping has a dream. 902 00:57:24,160 --> 00:57:30,400 He wants China to be respected as a power, as a strong country. 903 00:57:30,400 --> 00:57:32,040 China has to be strong. 904 00:57:32,040 --> 00:57:33,600 China has to be powerful. 905 00:57:33,600 --> 00:57:36,720 China has to have its future in its own hands. 906 00:57:36,720 --> 00:57:39,280 The Chinese government says 907 00:57:39,280 --> 00:57:42,000 it wants to build a new type of international relations 908 00:57:42,000 --> 00:57:44,360 and a shared future for mankind 909 00:57:44,360 --> 00:57:47,880 based on mutual respect, equity and justice. 910 00:57:49,280 --> 00:57:51,520 But as China's power grows, 911 00:57:51,520 --> 00:57:55,720 some in the West now believe that more tension is inevitable. 912 00:57:55,720 --> 00:57:59,480 I think until Xi Jinping, there was a sort of feeling 913 00:57:59,480 --> 00:58:02,520 that China was moving in the same sort of direction 914 00:58:02,520 --> 00:58:06,800 as much of the rest of the world, becoming more open and accountable. 915 00:58:06,800 --> 00:58:09,840 I don't think that's any longer the case 916 00:58:09,840 --> 00:58:14,720 and it does threaten to put America and China on a collision course, 917 00:58:14,720 --> 00:58:16,960 which I hope doesn't happen. 918 00:58:18,560 --> 00:58:21,680 The aspirations that we had that China was going to become 919 00:58:21,680 --> 00:58:24,840 an increasingly responsible and benign actor 920 00:58:24,840 --> 00:58:26,800 as it became more powerful 921 00:58:26,800 --> 00:58:29,800 and more integrated into the international economy 922 00:58:29,800 --> 00:58:31,160 didn't come to pass. 923 00:58:31,160 --> 00:58:33,000 And so I think what we're learning today 924 00:58:33,000 --> 00:58:35,400 is that we have a real problem on our hands. 925 00:58:35,400 --> 00:58:36,840 We will have to accept 926 00:58:36,840 --> 00:58:38,720 some more tension with China, 927 00:58:38,720 --> 00:58:41,320 some more confrontation with China, 928 00:58:41,320 --> 00:58:44,120 in order to protect our interests 929 00:58:44,120 --> 00:58:46,400 which are paramount to us. 930 00:58:46,400 --> 00:58:50,280 There will be a long-term struggle between the US and China. 931 00:58:50,280 --> 00:58:54,480 And it's not just over trade - it's about Chinese aspirations. 932 00:58:55,760 --> 00:59:00,200 US-China relations is going to be the key problem of our time.