Introduction
“Only with the continuous advance of reform and development can there possibly be a strong foundation for social stability. Leave social stability behind and not only will reform and development no longer smoothly advance, but every gain we have already made will be lost.” This is the central message of the fifth chapter of the Total National Security Paradigm: A Study Outline, a 150 page doctrinal manual distributed to party committees across China in early 2022. The Study Outline likens economic development and national security to “two wings in flight or the two wheels that move a cart.” The two must be pursued in tandem. Doing so will realize “one of our party’s major principles for governing China”: the “integration of development and security” [统筹发展和安全]. It is difficult to understand the economics of post-COVID China without first understanding the meaning of this phrase.
This is not only a challenge for outsiders. The authors of the Study Outline—the Central Propaganda Bureau and the Office of the Central National Security Commission—must devote an entire chapter to the phrase precisely because so many cadres struggle to implement the concept. In the not-so distant past, leading cadres were judged on simple metrics. The measure of a man was the GDP growth of the locality he led.1 Today growth numbers are no longer sufficient. This is not to say they do not matter—the Study Outline assures the rank-and-file that economic development “is still our essential and foundational work.” But it is no longer all that matters. As the manual argues: “Development and the improvement of material living standards are not everything. They are not the sole determining factor of the people’s support.”
It is easy to see why a cadre might think otherwise. A laser-like focus on economic growth saved China’s Leninist project. China thrived as communist regimes across the world buckled under the weight of sclerotic bureaucracies and stagnant economies. A famous phrase associated with Deng Xiaoping captured the ethos of that time: “let some get rich first!”2 With the Party securely in charge, the thinking went, China could safely shoulder unbalanced growth. The Party would translate exploding private wealth into expanding national power. Eventually China would become prosperous, strong, and technologically advanced enough to head off all challengers and restore China to its state of ancestral glory. From that position of wealth and strength, the Party would have the means to bring all Chinese the shared prosperity that its revolutionary founders dreamed about.3
So the thinking went. With slogans like “development is the solution to all of our problems” as their guide, Chinese officials brought this thinking to life one factory, development zone, and high-speed rail at a time. Few who watched China catapult forward in the ranks of fortune and power doubted the wisdom of this program.
Yet the solution to one crisis sows the seeds of the next one. As Xi Jinping ascended to the top of the Party hierarchy, it was evident the negative byproducts of the reform program were eroding the foundations of communist rule. Xi Jinping would introduce a new ideological line to address these problems. Core to this ideological system—grandiosely titled “Xi Jinping Thought on Socialism with Chinese Characteristics”—was a set of over-arching concepts intended to steer China’s response to the numerous challenges posed by its own success. This chapter of the Study Guide sits at the intersection of two of these governing frameworks: the Total National Security Paradigm [总体国家安全观] and the New Development Concept [新发展理念]. Though originally distinct, the two frameworks have (as this document itself is evidence of) grown increasingly intertwined with time.
The Study Outline was written as an “an important and authoritative auxiliary text [for teaching] the broad mass of cadres” about the first of these frameworks—Xi Jinping’s signature contributions to security theory, the Total National Security Paradigm.4 For cadres inclined by temperament or career track to focus their attention on the problems of regime security, economic development never did seem like the solution to “all” of the Party’s problems. It introduced as many dangers as it resolved. Reform and Opening meant integrating disruptive technologies (like the internet) into Chinese life. It exposed the masses to subversive intellectual trends from the outside world. Above all else, a narrow focus on economic growth enmeshed cadres in a culture of graft and greed. The threat that corruption posed to state security was not abstract: just before Xi came to power the Ministry of State Security learned that the CIA had leveraged China’s culture of corruption to build a substantial network of informants inside the Party itself.5
Xi introduced the new security framework to meet this mounting crisis. The Total National Security Paradigm trains cadres to treat threats to the PRC’s economic, political, and ideological integrity as dangers equal to traditional military threats. Under this paradigm cadres are bidden to cultivate “consciousness of calamity” [忧患意识]—an awareness that even in times of seeming peace and plenty they are all that stands between national rejuvenation and national collapse. The goal of all this is not to jettison the Dengist paradigm but to harden it: by securitizing large swathes of party policymaking, Xi seeks to shield Socialism with Chinese Characteristics from dangers otherwise built into its DNA.6
Yet as Xi came to power the security services were not the only part of the state ecosystem expressing unease with the the many shibboleths they had inherited from the Reform Era. A chorus of economists and economic planners offered their own critique of growth-at-all-costs. These economists understood that the driving engines of the Chinese growth miracle at its height were large-scale exports and massive investment in infrastructure and other fixed capital assets. By 2013 it was clear that this model of development was not sustainable. There is a limit to the number of roads, sewers, skyscrapers, and railways any country—even a country as large as China—can build before additional capital investments provide diminishing returns. Climbing Chinese wages would eventually price China out of many exports. The negative externalities of income inequality and industrial pollution threatened to undermine future growth. A more sustainable model was needed.7
These economists argued that if China was to sustain an upward growth trajectory in the decades to come then it must embrace a more balanced pattern of development. An extensive growth model based on expanding capital stock must be replaced by an intensive growth model based on rising productivity. Domestic consumption, not savings and investment, should be the engine of this new economy. Money must be guided away from China’s bubbling housing market. Chinese industry must move up the value chain. A better balance must be struck between the development of China’s rich eastern seaboard and relatively poorer inner hinterlands. Pollution must be curbed. From this point forward the kind of growth China experienced must matter as much as the scale of this growth.
Xi Jinping would gather these ideas together into a schema he dubbed the New Development Concept. This schema urged cadres to recognize that the Chinese economy had entered a “new normal” [新常态] of lower growth rates, less competitive exports, and smaller returns to capital investments. Economic planning must adapt to these realities. In practice this meant a national campaign to slash over-capacity in industries like steel and aluminum, a crash-course industrial policy to propel China to the cutting edge of high technology, a renewed focus on reducing pollution even if it came at the cost of easy growth, and numerous attempts to direct Chinese savers away from an overheated real estate market and towards direct consumption.
This New Development Concept was not originally justified by or conceptually linked to the language of security. However, the two tracks always had complimentary objectives: the Total National Security Paradigm and the New Development Concept both affirmed the basic Dengist vision of Socialism with Chinese Characteristics while rejecting, for distinct but parallel reasons, the growth-at-all-costs mindset that the Dengist reforms begot. It was not until Xi's second term these two lines of policy began to merge. The Study Outline describes one reason for their fusion:
The trend of turning inwards is on the rise in various states [across the globe]. The cycle of international markets and natural resources has clearly slowed and the old environment conducive to importing and exporting on a large scale has already changed. In an external environment characterized by the atrophy of global markets, we must concentrate our strength on properly handling our own affairs; accelerating the construction a new development pattern; strengthening our power to survive, compete, develop and [grow] sustainably in the face of various perilous circumstances, both foreseen and unforeseen; and ensuring the course towards the Great Rejuvenation of the Chinese Nation is neither stifled nor crushed.
The growth-at-all-costs mindset had been premised on a benign international environment that no longer exists. Party leaders had long claimed that the early 20th century would offer a limited window—a “period of strategic opportunity”—where the Party could safely rely on globalization to speed China’s rise. In this period there was no distinction between securing China and growing its economy. Tariffs, export controls, COVID closures, and growing hostility towards the PRC across the developed world signaled that this period was ending.8 Thus the Study Guide’s warnings of outside powers set on “stifling” and “crushing” China’s future growth. In this threatening global environment, the manual maintains, it no longer suffices to rely on “development to advance security.” Now cadres must use “security to protect development” as well.
The Study Guide suggests that this will require cadres to “weave national security into all aspects of the entire work process of the Party and state.” In the formalized language of Xi Jinping Thought of Socialism with Chinese Characteristics, this is described as “the integration of development and security.” This undertaking is not new: Xi Jinping described it as a core plank of the Total National Security Paradigm in 2014. However, the slogan did not migrate into economic planning documents until the late 2010s and was not officially endorsed by the Center as a key part of China’s development process until the 5th Plenum of the 19th Congress in 2021.9 In a speech given at the conclusion of that plenum Xi Jinping went out of his way to describe “the integration of development and security” as an official sub-component of the New Development Concept, decisively linking two streams of party policy into one whole.10
The Study Guide provides insight into what this whole is intended to look like. Many sections of this chapter simply justify long-standing development initiatives with the logic and language of security. Thus measures to reduce economic inequality, which Xi Jinping earlier justified in terms of “safeguarding fairness and justice” and “benefiting the people,” is described by the Study Outline as a safeguard against the “the rupture of the social fabric, political polarization, and rampant populism.”11 Cutting-edge scientific and technological innovations, once advocated by Xi Jinping to “fuel our economy… and build a beautiful China with blue skies, greenery, and clean water,” is here described as a “matter of our survival.”12 The list continues: Green development is necessary because “environmental problems are often those most prone to provoking discontent among the masses,” economic opening is necessary to “protect economic security,” and so forth.
Since the New Development Concept’s introduction to China, party leaders have described the sort of development China seeks as “shared,” “innovative,” “open,” “coordinated,” and “green.” It is difficult to discern whether the Study Guide’s security-based arguments for each of these goals reflect genuine rationales for their adoption or if these arguments are simply post-hoc attempts to justify existing policy initiatives with the language of danger. The logic of peril and threat may simply be the easiest way to rally a recalcitrant bureaucracy (or a security minded General Secretary) behind a costly set of economic reforms. Few problems are left to fester when national survival is on the line.
The connection between economics and security are less forced in the Study Guide’s repeated arguments for self-reliance. Longstanding calls to rebalance the Chinese economy in favor of domestic consumption took a distinctly geopolitical edge when the Politburo announced in 2020 that China must henceforth adopt a “new development pattern” with the domestic market acting as “the mainstay” of the Chinese economy. While this new development pattern allows for the domestic and international markets to “boost each other,” the Study Outline is frank about the policy’s larger priorities: “The most essential characteristic of the construction of a new development pattern is realizing a high-level of self-sufficiency.”
The Study Outline provides several reasons for why self-sufficiency is so critical to China’s state security. By “cultivat[ing] a complete system of domestic demand” China will be able to “absorb both external shocks and the effects of decreasing foreign demand.” More important still, it will allow the Party to “ensure the stability of our state’s economy and social environment under extreme circumstance.” The exact extreme circumstances that the Office for Central National Security Commission has in mind are not made clear. But the manual does hint at some possibilities.
“The Achilles’ heel of China’s massive economy,” the Study Outline notes, are “strangleholds” [卡脖子] in Chinese supply chains where foreign powers have the ability to cut off Chinese firms from the technological inputs they need to thrive. Self-sufficiency is therefore not just a matter of raising domestic demand but also scientific and technological progress. “A new round of technological revolution has brought ever fiercer competition [in the realm] of science and technology,” the Study Outline instructs. “If we cannot improve our capacity for innovation in science and technology we will not be able to transition the drivers of our growth. We will [then] be outmatched in global economic competition.”
The Study Outline makes clear this is not a call for strategic autarky: “Constructing a new development pattern is not a last resort or a measure of expedience. It is a forward-looking gambit for seizing the initiative of future growth.” The ultimate goal of self-reliance is not to cut China off from the world, but to make China more central to it. If it is realized the new development pattern should “allow us to attract essential resources from across the globe, become powerful competitors in a fierce international competition, and become a powerful driving force in the allocation of the world’s natural resources.” Thus even though “the protectionist zeitgeist is on the rise,” cadres must stand for “opening-up, cooperation, and planning for win-win development.” If China can no longer rely on globalization to power its journey to the center of the world stage, it can still hope to leverage international trade and development for its own ends. But this requires China to occupy a position of strength, not one of vulnerability.
Thus “the more we open [our economy to the world], the more we must prioritize security,” and “the more necessary it becomes to properly integrate the planning of development with security, the more necessary it becomes to put greater effort into increasing our ability to compete self-sufficiently.” Under this schema, GDP growth cannot justify dependency. The overwhelming priority of the Party must be development that leads towards national self-sufficiency. “Only then,” the Study Outline concludes, “can we [navigate] constant fluctuations in international [affairs] and be filled with the vigor needed to survive and develop. At that point no one can cause us to fall.”
—THE EDITORS
1. Joseph Fewsmith and Gao Xiang described the overlapping pressures that led to GDP growth targets being placed at the center of cadre responsibility system as follows:
This system proved highly effective in promoting growth, as China’s high-speed development over the past three decades attests; but its very focus on economic growth meant that other areas of governance–including health care, education, and environmental protection–were neglected. This imbalance was caused by four factors. First, the cadre system privileges targets that are easily counted. Thus the one-child policy could be implemented with remarkable effectiveness and, at times, ruthlessness. Similarly, economic development can be counted, albeit with some slippage, through the calculation of GDP figures. Second, pursuit of economic development has been relatively uncontroversial at all levels of government, which makes it a consensus target. Prioritizing economic development as the core task and weighing it heavily in the cadre evaluation system avoids arguments about how to measure and compare “softer” tasks. Focusing on economic development also aligns the personal interests of cadres–who often bene½t personally through privilege and corruption–with the goals of the state, making economic goals more likely to be attained. But again, the focus on development inevitably comes at the expense of softer social services.
Joseph Fewsmith and Gao Xiang, “Local Governance in China: Incentives & Tensions,” Daedalus 143, No. 2 (2014): 172-173.
The extent to which economic performance actually matters for cadre promotion has produced an enormous literature with empirical studies coming down on both sides of the question. For a recent review, see Pang, Baoqing, Shu Keng, and Siyi Zhang. “Does Performance Competition Impact China's Leadership Behaviour? Re-Examining the Promotion Tournament Hypothesis.” The China Quarterly (2023) 1–18.
2. Deng Xiaoping pronounced his now-famous formula, “let some people get rich first” [让一部分人先富起来], during the height of Reform and Opening in 1985. In an interview with Time in October 1985, he explained that there was no fundamental difference between socialism and capitalism and that China's development strategy was a means to achieve the socialist ideal in the end: “Some areas and some people can get rich first, driving and helping other areas and other people, and gradually achieve common prosperity.” Deng reiterated this vision during a tour to Tianjin a year later, maintaining that allowing some to prosper before others is a “shortcut to attaining common prosperity.”
Deng Xiaoping, “There Is No Fundamental Contradiction Between Socialism and a Market Economy,” Selected Works of Deng Xiaoping, 23 October 1985. Deng Xiaoping, “Remarks During An Inspection Tour of Tianjin,” Selected Works of Deng Xiaoping, 19-21 August 1986.
3. See the CST glossary entries for INITIAL STAGE OF SOCIALISM, SOCIALISM WITH CHINESE CHARACTERISTICS and GREAT REJUVENATION OF THE CHINESE NATION and their respective sources longer explications of this theory.
4. Taken from “Zongti Guojia Anquan Xuexi Gongyao: Chuban Faxing 《总体国家安全观学习纲要》出版发行 [The Total National Security Paradigm: A Study Outline is Published],” Renmin Wang 人民网 [People’s Daily Online], 16 April 2022. In Chinese the passage reads干部群众学习贯彻总体国家安全观的重要权威辅助读物。
For broader overviews of the Total National Security Paradigm see Matthew Johnson, “Safeguarding Socialism: The Origins, Evolution and Expansion of China’s Total Security Paradigm,” Sinopsis (Prague: AcaMedia z.ú., June 2020); Jude Blanchette, “The Edge of an Abyss: Xi Jinping’s Overall National Security Outlook,” China Leadership Monitor, 1 September 2022; Katja Drinhausen and Helena Legarda, “‘Comprehensive National Security’ Unleashed: How Xi’s Approach Shapes China’s Policies at Home and Abroad,” MERICS China Report, Mercator Institute for China Studies, 15 September 2022; and Samantha Hoffman, “Programming China: the Communist Party’s autonomic approach to managing state security,” (PhD diss., University of Nottingham, 2017).
5. The story of the CIA network in China has been reported in Zach Dorfman, “Botched CIA Communications System Helped Blow Cover of Chinese Agents,” Foreign Policy, 15 August 2018 and “China Used Stolen Data to Expose CIA Operatives in Africa and Europe,” Foreign Policy, 21 December 2020; Mark Mazzetti, Adam Goldman, Michael S. Schmidt, and Matthew Apuzzo, “Killing C.I.A. Informants, China Crippled U.S. Spying Operations,” The New York Times, 20 May 2017; and Julian E. Barnes and Adam Goldman, Killed or Compromised: C.I.A. Admits to Losing Dozens of Informants,” The New York Times, 5 October 2021. The connection between this event and the anti-corruption drive that followed is outline in John Fitzgerald, Cadre Country: How China Became the Chinese Communist Party (Sydney: University of New South Wales Press, 2022), 204-214.
6. See Joseph Fewsmith, Rethinking Chinese Politics (Oxford: Oxford University Press, 2019) for a compelling depiction of the weaknesses inherent in what Fewsmith calls “reform Leninism” and a description Xi Jinping Thought on Socialism with Chinese Characteristics as an intentional answer to these weaknesses.
7. Perhaps the most influential of these voices was the joint report issued by the World Bank and the Development Research Center of the State Council: China 2030: Building a Modern, Harmonious, and Creative Society (The World Bank: Washington DC, 2013); an accessible overview to the issues involved is Arthur Kroeber, China’s Economy: What Everyone Needs to Know, 2nd ed (Oxford: Oxford University Press, 2020), 267-296.
8. See the CST glossary entry PERIOD OF STRATEGIC OPPORTUNITY for a longer explication; see also Alex Dessein, "Identifying Windows of Opportunity within China’s Rise: Problematizing China’s Hundred-Year Strategy toward Great-Power Status,” Military Review (September-October 2019), 64-82; Brock Erdhal, and Daid Gitter, “China’s Uncertain Times and Fading Opportunities,” CACR Occasional Report. Washington DC: Center for Advanced China Research, 2022.
9. The history of this slogan is traced in Howard Wang, “‘Security Is a Prerequisite for Development’: Consensus-Building toward a New Top Priority in the Chinese Communist Party,” Journal of Contemporary China (2022), 1-15.
10. Xi Jinping, Governance Of China, vol 4 (Beijing: Foreign Language Press, 2022), 195-196.
11. Xi Jinping, Governance Of China, vol 2 (Beijing: Foreign Language Press, 2017), 236-237.
12. Ibid., 221. See also p. 297.