WEBVTT 00:01.900 --> 00:03.833 align:left position:10% line:77% size:80% JUDY WOODRUFF: This weekend, China's President and Communist Party General 00:03.833 --> 00:08.600 align:left position:10% line:77% size:80% Secretary Xi Jinping gave what is viewed as his most significant speech of the year. 00:09.800 --> 00:11.333 align:left position:20% line:83% size:70% He chronicled his achievements over 00:11.333 --> 00:14.433 align:left position:10% line:83% size:80% the last decade and charted his vision for the country's future, 00:14.433 --> 00:19.433 align:left position:10% line:71% size:80% all as the Communist Party appears set to hand him a third term and further cement his power. 00:20.933 --> 00:22.666 align:left position:10% line:89% size:80% Nick Schifrin has the story. 00:22.666 --> 00:25.666 align:left position:20% line:77% size:70% NICK SCHIFRIN: During the first day of the National Party Congress, 00:25.666 --> 00:30.000 align:left position:10% line:77% size:80% General Secretary Xi Jinping stressed the importance of improving the standard 00:30.000 --> 00:35.000 align:left position:10% line:71% size:80% of living for Chinese citizens and increasing self-reliance, especially on high-end technology. 00:37.066 --> 00:40.033 align:left position:10% line:77% size:80% He praised China's response to the COVID pandemic, which relies on massive widespread lockdowns, 00:41.900 --> 00:45.333 align:left position:10% line:77% size:80% and Xi emphasized the need to become more adept at deploying China's military on a 00:45.333 --> 00:49.300 align:left position:10% line:77% size:80% regular basis and for the military to be prepared for major challenges. 00:49.300 --> 00:53.066 align:left position:10% line:77% size:80% XI JINPING, Chinese President (through translator): We must be mindful of 00:53.066 --> 00:56.766 align:left position:10% line:77% size:80% potential dangers, be prepared to deal with the worst-case scenarios, and be 00:56.766 --> 01:01.600 align:left position:20% line:71% size:70% ready to withstand the major challenges of high winds, choppy waters and even dangerous storms. 01:01.600 --> 01:05.433 align:left position:10% line:77% size:80% NICK SCHIFRIN: And for more on Xi Jinping's speech and the Party Congress, we turned to 01:05.433 --> 01:10.066 align:left position:10% line:77% size:80% Christopher Johnson, previously a China analyst at the CIA. He now runs his own 01:10.066 --> 01:12.766 align:left position:20% line:83% size:70% consulting company, China Strategies Group. 01:12.766 --> 01:14.800 align:left position:20% line:83% size:70% Chris Johnson, welcome to the "NewsHour." 01:14.800 --> 01:18.900 align:left position:10% line:77% size:80% When Xi discusses worst-case scenarios,when he talks about headwinds, 01:18.900 --> 01:23.266 align:left position:10% line:77% size:80% is he preparing China for a long-term confrontation with the United States? 01:23.266 --> 01:25.366 align:left position:10% line:83% size:80% CHRISTOPHER JOHNSON, China Strategies Group: Absolutely. 01:25.366 --> 01:28.600 align:left position:10% line:77% size:80% And, in fact, I think he's telling us that he sees war with the United States 01:28.600 --> 01:32.866 align:left position:10% line:77% size:80% as increasingly likely. And I think we see two aspects of this in the speech that he 01:32.866 --> 01:37.533 align:left position:10% line:71% size:80% delivered to the Congress. The first is that longstanding phraseology in these work reports, 01:37.533 --> 01:41.600 align:left position:10% line:77% size:80% where China judged that peace and economic development not only were 01:41.600 --> 01:45.966 align:left position:10% line:77% size:80% the dominant global trend, but also would be an enduring one, are gone from this report. 01:45.966 --> 01:50.933 align:left position:10% line:71% size:80% And, instead, they have been replaced by what Xi Jinping called a spirit of struggle, which 01:53.033 --> 01:55.866 align:left position:20% line:71% size:70% is clearly a throwback to the 1960s under Mao Zedong. The other way I think he's telegraphing 01:55.866 --> 02:00.300 align:left position:10% line:71% size:80% that is that he's showing us that the economy is moving toward what we might call a fortress 02:00.300 --> 02:05.233 align:left position:20% line:71% size:70% economy that is less dependent on the global order and less dependent upon the United States. 02:06.966 --> 02:09.033 align:left position:10% line:77% size:80% He talks a lot in the speech about self-sufficiency in technology. 02:09.033 --> 02:12.766 align:left position:10% line:77% size:80% And that tells us that he's hardening that system for -- in preparation for 02:12.766 --> 02:14.433 align:left position:20% line:83% size:70% that possible coming war with the United States. 02:14.433 --> 02:17.400 align:left position:20% line:77% size:70% NICK SCHIFRIN: And he spent a lot of time on military modernization. 02:17.400 --> 02:22.200 align:left position:10% line:77% size:80% Is the vision not only perhaps some kind of regional war or confrontation with the 02:22.200 --> 02:26.133 align:left position:10% line:77% size:80% United States over, say, Taiwan or the South China Sea, but a more global one? 02:26.133 --> 02:28.200 align:left position:10% line:83% size:80% CHRISTOPHER JOHNSON: Well, that's a great question. 02:28.200 --> 02:30.900 align:left position:10% line:77% size:80% And I think we see him through the defense reforms that he's been pushing in his second 02:30.900 --> 02:35.333 align:left position:10% line:71% size:80% term and also through the type of weapons systems they're developing. They're undergoing a massive 02:35.333 --> 02:40.300 align:left position:10% line:71% size:80% expansion of their nuclear force. They tested this hypersonic glide vehicle last year. All of 02:40.300 --> 02:44.866 align:left position:10% line:71% size:80% those systems obviously are designed to threaten the U.S. mainland and homeland and to show that 02:44.866 --> 02:48.766 align:left position:10% line:77% size:80% China is ready for a global contingency with the United States, if necessary. 02:48.766 --> 02:50.800 align:left position:10% line:83% size:80% NICK SCHIFRIN: The largest tension point, of course, 02:50.800 --> 02:54.733 align:left position:10% line:77% size:80% between Beijing and Washington is Taiwan. It has been for a long time and is today. 02:54.733 --> 02:57.733 align:left position:10% line:83% size:80% Let's take a listen to what Xi said about Taiwan. 02:57.733 --> 03:02.700 align:left position:10% line:77% size:80% XI JINPING (through translator): Resolving the Taiwan issue is a matter for the Chinese, 03:02.700 --> 03:07.366 align:left position:10% line:77% size:80% a matter that must be resolved by us Chinese people. We will continue to 03:07.366 --> 03:11.500 align:left position:10% line:77% size:80% strive for a peaceful reunification with the greatest sincerity and the utmost effort. 03:11.500 --> 03:15.833 align:left position:10% line:77% size:80% But we will never promise to renounce the use of force. And we reserve the option 03:15.833 --> 03:20.433 align:left position:10% line:77% size:80% of taking all measures necessary. This is directed only at interference by outside 03:20.433 --> 03:24.933 align:left position:10% line:71% size:80% forces and the few separatists who seek Taiwan independence with their separatist activities. 03:24.933 --> 03:28.500 align:left position:10% line:77% size:80% NICK SCHIFRIN: Outside forces and those who seek Taiwan independence. 03:28.500 --> 03:30.633 align:left position:20% line:83% size:70% What message is Xi Jinping trying to send? 03:30.633 --> 03:34.733 align:left position:10% line:77% size:80% CHRISTOPHER JOHNSON: I think he's telling the United States primarily, stop messing around 03:34.733 --> 03:39.733 align:left position:10% line:77% size:80% in the Taiwan issue and abide more tightly to the One China policy that has governed U.S. 03:41.733 --> 03:45.766 align:left position:20% line:71% size:70% approach toward Taiwan since we reestablished diplomatic relations with China in the 1970s. 03:45.766 --> 03:50.766 align:left position:10% line:71% size:80% He's clearly saying to us, as long as we continue to have a One China policy in the United States, 03:53.200 --> 03:56.833 align:left position:10% line:71% size:80% and Taiwan doesn't move toward independence, the Chinese actually see a potential military conflict 03:58.933 --> 04:01.066 align:left position:10% line:77% size:80% with Taiwan as a crisis to be avoided, rather than an opportunity to be seized. 04:01.066 --> 04:05.433 align:left position:10% line:77% size:80% NICK SCHIFRIN: When it comes to domestic issues, he did not ease any of the COVID 04:05.433 --> 04:10.433 align:left position:10% line:71% size:80% zero restrictions, which, to this day, continue to leave millions of Chinese people in lockdown. 04:12.266 --> 04:16.533 align:left position:10% line:77% size:80% And he reiterated his belief in a highly centralized economic control, 04:16.533 --> 04:21.533 align:left position:10% line:77% size:80% even if that centralization leads to lower growth across the country. What 04:23.533 --> 04:27.933 align:left position:10% line:77% size:80% does that say about his version of state control 10 years into his second term? 04:27.933 --> 04:32.133 align:left position:10% line:71% size:80% CHRISTOPHER JOHNSON: I think it tells us that he wants more state control and more centralization, 04:32.133 --> 04:36.633 align:left position:10% line:77% size:80% whether it's in the economy and the COVID zero policy or any other policy across the board. 04:36.633 --> 04:39.766 align:left position:10% line:77% size:80% What we're seeing is a guy who believes fundamentally in Marxism, 04:39.766 --> 04:44.766 align:left position:10% line:77% size:80% believes that communism is a system that can have its own successes internationally, 04:46.666 --> 04:48.700 align:left position:10% line:77% size:80% and can defeat the United States and capitalism in the longer term. 04:48.700 --> 04:53.033 align:left position:10% line:77% size:80% NICK SCHIFRIN: About 10 days ago, the U.S. imposed its most sweeping export controls, 04:53.033 --> 04:57.700 align:left position:20% line:83% size:70% trying to prevent China from purchasing high-end 04:57.700 --> 05:02.700 align:left position:10% line:83% size:80% technology with any kind of U.S. factors inside that technology. 05:02.700 --> 05:04.833 align:left position:20% line:83% size:70% Xi Jinping today, as you have been discussing, 05:04.833 --> 05:09.600 align:left position:10% line:77% size:80% talked about self-reliance. Can those export controls do what they're designed to do, 05:09.600 --> 05:14.600 align:left position:10% line:77% size:80% which is set back China's military and keep the U.S. technological advantage? 05:16.066 --> 05:18.066 align:left position:10% line:83% size:80% CHRISTOPHER JOHNSON: Well, it can certainly slow them down. 05:18.066 --> 05:20.566 align:left position:10% line:77% size:80% And I think that's what the objective of the policies are. The key question, 05:20.566 --> 05:24.000 align:left position:10% line:77% size:80% I think, for not only the United States government, but our companies, is that, 05:24.000 --> 05:27.166 align:left position:10% line:77% size:80% if China eventually gets there on their own in terms of the ability to produce 05:27.166 --> 05:31.300 align:left position:10% line:77% size:80% semiconductors -- and, let's remember, wafer fabrication is not literal rocket science. 05:31.300 --> 05:34.800 align:left position:10% line:77% size:80% There are plenty of people out there who know how to do it. China will eventually 05:34.800 --> 05:39.100 align:left position:10% line:77% size:80% gain this capability. And when they do, will it be a situation where our companies 05:39.100 --> 05:43.933 align:left position:20% line:71% size:70% are left on the outside looking in, while other countries' semiconductor companies sell to China? 05:43.933 --> 05:48.600 align:left position:10% line:77% size:80% NICK SCHIFRIN: So there's a risk in trying to constrain China's growth for U.S. companies? 05:48.600 --> 05:53.400 align:left position:10% line:77% size:80% CHRISTOPHER JOHNSON: Absolutely, because as the risk that you run is that, what if we're 05:53.400 --> 05:57.100 align:left position:10% line:77% size:80% partially successful in slowing them down, but they double and triple down and all these 05:57.100 --> 06:00.733 align:left position:10% line:77% size:80% other areas of high technology, artificial intelligence, quantum computing, and so on? 06:00.733 --> 06:04.733 align:left position:10% line:77% size:80% If they're successful there and wind up in front of us in those key technologies, where the race 06:04.733 --> 06:08.433 align:left position:10% line:77% size:80% is still very much at hand, we could have a situation where we're suddenly behind them. 06:08.433 --> 06:13.066 align:left position:10% line:77% size:80% NICK SCHIFRIN: Xi Jinping is the most powerful Chinese leader since Mao. 06:13.066 --> 06:18.033 align:left position:10% line:77% size:80% Has he taken even more steps in this Congress to try and erase the most 06:18.033 --> 06:22.466 align:left position:10% line:77% size:80% powerful Chinese leader that was between Xi and Mao, Deng Xiaoping, and his reform? 06:22.466 --> 06:25.033 align:left position:20% line:83% size:70% CHRISTOPHER JOHNSON: Yes, absolutely. 06:25.033 --> 06:28.533 align:left position:10% line:71% size:80% In foreign the policy arena, Deng's theory was always, China should keep a low profile and not 06:28.533 --> 06:33.533 align:left position:10% line:71% size:80% raise its head internationally. Xi Jinping says, China already is a superpower and it's time for it 06:35.966 --> 06:38.566 align:left position:10% line:71% size:80% to start acting like one on the global stage. And that's a massive diminution of Deng's role and an 06:38.566 --> 06:43.500 align:left position:10% line:71% size:80% effort to create a direct line between Mao Zedong and himself as China's unparalleled top leader. 06:45.066 --> 06:46.366 align:left position:20% line:77% size:70% NICK SCHIFRIN: And, of course, that is what we expect next weekend, 06:46.366 --> 06:49.066 align:left position:20% line:83% size:70% Xi Jinping being granted that third term. 06:49.066 --> 06:51.500 align:left position:20% line:77% size:70% Chris Johnson of the China Strategies Group, thank you very much. 06:51.500 --> 06:52.366 align:left position:20% line:83% size:70% CHRISTOPHER JOHNSON: My pleasure.