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02 Sep 2010 [18:19 UTC]

Working Life

China’s Pollution Problem – Our Pollution Problem?

by Jonathan Tasini
Monday 27 of August, 2007
Posted to Front Page Posts
Yesterday’s New York Times has a piece on the environmental cost of economic growth in China titled As China Roars, Pollution Reaches Deadly Extremes. The long, detailed piece focuses on the huge impact heavy industry has had on public health in China and the lack of government action or effective regulations to address these problems. Just to give you an idea of some of the statistics mentioned:

Chinese cities often seem wrapped in a toxic gray shroud. Only 1 percent of the country’s 560 million city dwellers breathe air considered safe by the European Union.

The article analyzes a number of reasons why the government fails to deal with the problem despite the fact that it has tried to take steps to conserve energy and create stricter regulations. A few reasons discussed include China’s “addiction” to growth, political corruption on a local level and the suppression of political dissent. However, this is what jumped out at me:

Chinese leaders argue that the outside world is a partner in degrading the country’s environment. Chinese manufacturers that dump waste into rivers or pump smoke into the sky make the cheap products that fill stores in the United States and Europe. Often, these manufacturers subcontract for foreign companies — or are owned by them. In fact, foreign investment continues to rise as multinational corporations build more factories in China. Beijing also insists that it will accept no mandatory limits on its carbon dioxide emissions, which would almost certainly reduce its industrial growth. It argues that rich countries caused global warming and should find a way to solve it without impinging on China’s development.

I added the bold here because, while I don't think these leaders can just pass the buck onto other countries, this paragraph raises an important point that could be much more thoroughly addressed in the article – the role of the United States, Europe and multi-national corporations in China’s environmental crisis.

Clearly, the U.S. and Europe are fueling China’s economy by purchasing the majority of products being produced cheaply in China - obviously this is a problem. But, of major concern is that many of these polluting companies are big multi-national corporations. I would be really interested to know what percentage of the companies that are polluting China’s skies and rivers are U.S. or foreign owned. I would imagine the percentage is fairly high. This is something that the article fails to examine.

It then goes on to say….

Indeed, Britain, the United States and Japan polluted their way to prosperity and worried about environmental damage only after their economies matured and their urban middle classes demanded blue skies and safe drinking water.

I see a few problems with this argument. To put it politely - I don’t think our government is all that concerned with the environment and the idea that China is “behind” us or less “mature” is problematic. Also, as the article details towards the end, we might have a lot more government employees dedicated to dealing with environmental regulations than China does, but that doesn’t mean they are forever making stricter polices or adequately dealing with the problem. We also have many major corporations lobbying for ever-weaker regulations…

Moreover, haven’t we effectively outsourced much of our industrial environmental problems to places like China? So much of our industry has gone overseas in search of cheap labor and fewer environmental regulations that we have not only moved our jobs overseas, but also our much of our environmental problem – we haven’t actually solved much.

So, I ask is China’s pollution problem just China’s problem?

Aside from the fact that air pollution from China is impacting air quality in L.A., making China’s pollution literally ours, it seems like there are a number of other reasons why China’s problem is also ours.

This post was written by Natasha Winegar. While Jonathan is away on vacation, she will be posting in his place.

Comments

by Brian Saxton, Monday 27 of August, 2007 [20:16:32 UTC]

"I see a few problems with this argument. To put it politely - I don’t think our government is all that concerned with the environment and the idea that China is “behind” us or less “mature” is problematic."

Are you serious about this?  Environmental protection in the United States may not be all you or I wish it was, but environmental standards in the United States are entirely different from those in China.  I don't think you can seriously argue that environmental regulations in the U.S. aren't stronger than those in China.  The reason for that, as the NYT article alludes to, is that the United States has a middle class that insists on it.

China's solution to this is defined in the article.  To quote: "But the environment may end up posing a different political challenge. A command-and-control political culture accustomed to issuing thundering directives is now under pressure, even from people in the ruling party, to submit to oversight from the public, for which pollution has become a daily — and increasingly deadly — reality."

The wealth provided by the production activity that is going on in China, that is lifting its people out of poverty even as we type, is what will give its citizens the ability to concern themselves with the environment.  As long as millions of Chinese people live in abject poverty, the environment will be the last thing on anyone's mind.  As its people gain wealth, they will demand living standards like the U.S. and Europe.  That's for them to do -- and the only influence the U.S. has in the matter is that which U.S. purchasers of goods gain for it.

Re:

by Jonathan Tasini, Tuesday 28 of August, 2007 [03:08:52 UTC]
I apologize for any misunderstanding. I didn’t intend to imply that the U.S.’s environmental regulations are the same as China’s. The point I was trying to make is that while the U.S. certainly has stronger standards than China, we are by no means close to solving our environmental crisis (whether "our" involves China or not).

My general concern was about the fact that much of our industry has moved overseas, and as a result, it is possible that many of these polluting factories are either owned by or subcontracted by the U.S. or other foreign companies. So, the question I pose to you is do you think that these American companies should have the same environmental practices and standards in China (or elsewhere) that they do at home?
-Natasha

Re:

by Brian Saxton, Wednesday 29 of August, 2007 [03:26:20 UTC]

"So, the question I pose to you is do you think that these American companies should have the same environmental practices and standards in China (or elsewhere) that they do at home?"

I don't think they should be required to by U.S. law, but I think that if multinationals are smart, they will insist that their Chinese subcontractors run more efficiently and reduce pollution (even though current Chinese law may not require it) for two main reasons:

  1. As the NYT article suggests, environmental regulations in China are likely to become more stringent, and probably soon.  If companies clean up their act now, they're much less likely to face interruptions in supply.
  2. Energy efficient factories are cheaper to run -- sometimes, a lot cheaper.  Check out this article in the WSJ from a couple of days ago.  As Chinese labor costs go up (and they're going up fast), companies will have to save money there in other ways.

I think that companies that make these changes before they're required will ultimately be more profitable, just like companies who treat their workers better are ultimately more profitable (like Costco). 

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