Tonghua Iron and Steel Group riot

Last updated

The Tonghua Iron and Steel Group riot was a riot incident that took place in Tonghua Jilin province People's Republic of China on July 24, 2009. Angry workers rioted after news of a major company layoff. About 100 people were injured in the clash including a corporate executive who was beaten to death in the event. [1] [2]

Contents

Background

News spread that the state-run Tonghua Iron and Steel Group (TISG) was being taken over by the privately owned Beijing Jianlong (建龙) Steel Holdings, formed in 1999 by Zhang Zhixiang (张志祥), an iron and steel merchant from Jiaxing. Jianlong Steel had previously purchased a 36.19% stake in TISG in 2005 during the privatization attempt launched by the Chinese government, and despite not having a majority representation, Jianglong Steel Holdings nonetheless managed to have most of the managerial staff demoted and replaced by managers from Jianglong, under the claim of attempting to improve the performance of TISG. However, the managerial shake up did not bring improvement as Jianlong had promised, but instead, TISG continued its downward spiral, resulting in most of TISG workers losing their pay, with many of them suffering in the harsh cold of winter when their heat was turned off as they could not afford to pay the heating bills. By the second quarter of 2009, TISG had lost over 11 billion yuan ($159.5 million) since the 2005 Jianlong takeover and its managerial reshuffle. Jianlong Steel responded by selling out all of its shares of TISG, begun to get out completely at the start of 2009, citing that Jianglong could no longer handle the unacceptable loss of TISG, and by March 2009, Jianlong claimed that it was completely out and no longer responsible for TISG. However, as the market rebounded, TISG once again begun to make profits, pulling in a profit of 45 million yuan ($6,255,00) in June alone. Witnessing the resurgence of TISG, Jianlong once again asked to purchase shares of TISG in July 2009, merely four months after its complete pullout, and this time it was the controlling share of 65%. The request was approved by provincial officials of Jilin province. [3]

Workers feared that a corporate takeover would lay off 30,000 employees in 3 days. [1] Workers earn a monthly salary of about 300 to 500 yuan ($43.92 to $73.20), compared with 2,500 yuan ($366) per month before Jianlong's first takeover bid. [3]

Riot

Chen Guojun (陈国军), a corporate executive from Jianlong Steel company was paid a salary of 3 million yuan (US$438,000) in 2008, while some retirees received as little as 200 yuan ($29) a month. Since Jianlong's takeover of TISG, workers' salary had not exceeded 1,000 yuan ($145) as the TISG steadily declined, and in the recent financial crisis, workers' salary is further reduced to 500 yuan ($72.5). [4] After the news, some 30,000 disgruntled Chinese steel workers clashed with riot police in protest over a takeover deal. [5] Chen was then beaten to death when he threatened to fire all of former workers of TISG and replace them with new workers. [3] About 100 people were injured in the incident, and several police cars were destroyed. [2] A Tonghua company spokesman denied 30,000 protested, saying they only have 13,000 people on payroll. Xinhua news agency put the number of protesters at 1,000. [3] Local residents and observers claimed that the 30,000 members included the family members and retired and laid-off workers or employees.

Aftermath

Production and the status quo returned on July 27 at the Tonghua Iron and Steel Group (TISG) after top provincial officials demanded peaceful settlement of the incident, [3] and announced via Tonghua television and radio that Jianlong will never be involved in the reorganization of TISG. The president and chairman of the board of TISG, Mr. An Fengcheng (安凤成), along with several vice presidents have resigned. [6] Workers of TISG, as well as many local residents have suspected that many corrupted governmental officials were involved in the TISG privatization reorganization plan to embezzle the state asset, while the Jilin provincial officials claimed that the riot was a result of agitators, as claimed by the spokesman and deputy director of the Jilin Provincial National Asset Committee (吉林省国有资产委员会), Mr. Wang Xidong (王喜东) on the emergency news conference held at the 5:00 PM on July 27, 2009. [7] [8]

See also

Related Research Articles

Jilin Province of China

Jilin is one of the three provinces of Northeast China. Its capital and largest city is Changchun. Jilin borders North Korea and Russia to the east, Heilongjiang to the north, Liaoning to the south, and Inner Mongolia to the west. Along with the rest of Northeast China, Jilin underwent an early period of industrialization. However, Jilin's economy, characterized by heavy industry, has been facing economic difficulties with privatization. This prompted the central government to undertake a campaign called "Revitalize the Northeast". The region contains large deposits of oil shale.

Benxi Prefecture-level city in Liaoning, Peoples Republic of China

Benxi is a prefecture-level city located in the east of Liaoning province, People's Republic of China, south-southeast of the provincial capital Shenyang. Its population was 1,709,538 at the 2010 census whom 1,011,377 lived in the built-up area made of 3 urban districts. It was founded as a metallurgical center in 1915. Benxi Iron and Steel Company (Bengang) is the largest employer in the city, and used to be the fourth-largest steel company in China. The second-largest industry in Benxi is coal mining. The city has pollution problems due to steel production and coal mining.

Baowu

China Baowu Steel Group Corp., Ltd., commonly known as Baowu, is a state-owned iron and steel company headquartered in the Baosteel Tower in Pudong, Shanghai, China. The company was formed by Baosteel Group absorbing its smaller state-owned peer, Wuhan Iron and Steel Corporation in 2016.

Tonghua Prefecture-level city in Jilin, Peoples Republic of China

Tonghua is an industrial city in the south of Jilin province, People's Republic of China. It borders North Korea's Chagang Province to the south and southeast, Baishan to the east, Jilin City to the north, Liaoyuan to the northwest, and Liaoning province to the west and southwest. Administratively, it is a prefecture-level city with a total population of 2,325,242 living in an area of 15,195 square kilometres (5,867 sq mi). Urban population is 506,877. It is known as one of the five medicine production centres in China.

Shi Yuejun Chinese spree killer (1971-2006)

Shi Yuejun was a Chinese mass murderer and spree killer known as the "Jilin butcher", who murdered 12 people and wounded five others in Liuhe County and Tonghua County, Jilin Province between 24 September and 29 September 2006. He was sentenced to death on 25 November the same year and executed about a month later.

The 2008 Weng'an riot was a riot on June 28, 2008 involving tens of thousands of residents in Weng'an County, Qiannan Buyei and Miao Autonomous Prefecture, in the Guizhou province of Southwest China. Rioters smashed government buildings and torched several police cars to protest against an alleged police cover-up of a girl's death.

The Economic Cooperation Framework Agreement (ECFA) is a preferential trade agreement between the governments of the People's Republic of China and the Republic of China that aims to reduce tariffs and commercial barriers between the two sides. The pact, signed on June 29, 2010, in Chongqing, was seen as the most significant agreement since the two sides split after the Chinese Civil War in 1949, since neither government recognize the other as "countries". It was expected to boost the then-current US$197.28 billion bilateral trade between both sides.

The 2009 May Day protests were a series of international protests that took place across Europe, Asia and in the other parts of the world due to the financial crisis of 2007–2008 and the resulting Great Recession. Several May Day marches, which are traditional events, had turned violent in Germany, Turkey and Venezuela as riot police battled protesters in their respective countries. Banks and shops had been attacked in Turkey.

The Shishou Incident was a popular protest and riot in the city of Shishou, Hubei Province, in central China between June 19–21, 2009. The protests were the result of dubious circumstances surrounding the death of 24-year-old chef Tu Yuangao (涂遠高) of the local Yonglong Hotel (永隆大酒店).

July 2009 Ürümqi riots Protest events in Xinjiang Uyghur Autonomous Region, China

The July 2009 Ürümqi riots were a series of violent riots over several days that broke out on 5 July 2009 in Ürümqi, the capital city of the Xinjiang Uyghur Autonomous Region (XUAR), in Northwestern China. The first day's rioting, which involved at least 1,000 Uyghurs, began as a protest but escalated into violent attacks that mainly targeted Han people. China's People's Armed Police were deployed and two days later hundreds of Han people clashed with both police and Uyghurs. PRC officials said that a total of 197 people died, most of whom were Hans, with 1,721 others injured and many vehicles and buildings destroyed. Many Uyghurs disappeared during wide-scale police sweeps in the days following the riots; Human Rights Watch (HRW) documented 43 cases and said figures for real disappearances were likely to be much higher.

Shaoguan incident Lynching of Uyghurs in Guangdong (Canton), China

The Shaoguan incident was a civil disturbance which took place overnight on 25/26 June 2009 in Guangdong, China. A violent dispute erupted between migrant Uyghurs and Han Chinese workers at a toy factory in Shaoguan as a result of false allegations of the sexual assault of a Han Chinese female. Groups of Han Chinese set upon Uyghur co-workers, leading to at least two Uyghurs being violently killed by angry Han Chinese men, and some 118 people injured, most of them Uyghurs.

Shandong Steel

Shandong Iron and Steel Group Co Ltd, commonly known as Shandong Steel, is a Chinese steel company based in Jinan. 2015 it was ranked as 12th biggest steel producer of the world with an production of 21.7 million tonnes of steel. In 2009, it took a 67% stake in Rizhao Iron and Steel. SISG is controlled by the provincial government of Shandong. SISG was formed in March 2008 when the provincial government of Shandong merged two state-owned steel producers.

The Economic Cooperation Framework Agreement Television Debate was a televised debate between the President of the Republic of China, Ma Ying-jeou, who is also chairman of the Nationalist Party (Kuomintang), and the chairperson of Democratic Progressive Party, Tsai Ing-wen, which aired on April 25, 2010.

Li Feng was a Chinese teacher who was executed for sexually molesting and raping 19 girls.

The 2011 Chaozhou riot began on the night of Duanwu Festival June 6, 2011 in Guxiang (古巷镇) Chao'an County, Chaozhou, Guangdong, People's Republic of China.

Tonghua Sanyuanpu Airport

Tonghua Sanyuanpu Airport, also known as Tonghua Liuhe Airport, is a dual-use military and civilian airport serving the city of Tonghua in Jilin Province, China. It is located in the town of Sanyuanpu in Liuhe County, 50 kilometers from the city center. Originally a military airport, construction to convert it for civilian use started in October 2009 with a total investment of 370 million yuan. The airport was opened on 18 June 2014, becoming the fifth civilian airport in Jilin.

Wang Rulin

Wang Rulin is a Chinese politician and senior regional official. He is serving as Vice-Chairperson of the National People's Congress Agriculture and Rural Affairs Committee. From 2014 to 2016, Wang was the Communist Party Secretary of Shanxi province, where he managed anti-corruption efforts as part of the greater anti-corruption campaign under Xi Jinping. Wang formerly served as Party Secretary (2012–14) and Governor (2009–12) of Jilin province.

Tian Xueren is a former Chinese politician who spent most of his career in Northeast China's Jilin province. He was investigated by the Communist Party of China's anti-graft agency in July 2012. He served as Communist Party Secretary and President of Jilin Bank from 2007 to 2012, and Executive Vice Governor of Jilin between 2004 and 2008.

Benxi Steel Group Corp., Ltd. known as Benxi Steel Group is a Chinese holding company based in Benxi, Liaoning Province, for two steel making group.

Syracuse riot of 1919

The Syracuse riot of 1919 were a violent racial attack that occurred when the management of the Globe Malleable Iron Works pitted striking white unionized workers against black strikebreakers in Syracuse, New York on July 31, 1919.

References

  1. 1 2 Time.com. "Time.com." How China's Steel Boom Turned Deadly. Retrieved on 2009-07-30.
  2. 1 2 Etaiwannews.com. "Etaiwannews.com." China police, 30,000 workers clash: rights group. Retrieved on 2009-07-30.
  3. 1 2 3 4 5 Sina.com. "Sina.com." Finger pointing in steel mill death. Retrieved on 2009-07-30.
  4. Yahoo.com. "Yahoo.com." Report: 30,000 China steelworkers in deadly clash. Retrieved on 2009-07-30.
  5. Vancouver Sun. "Vancouver Sun." Police clash with 30,000 steel workers in China. Retrieved on 2009-07-30.
  6. "Tonghua Iron and Steel Group Chairman An Fengcheng and other vice presidents resign". National Business Daily . 2009-07-29. Archived from the original on 2013-01-01.
  7. "Jilin State-owned Assets Supervision and Administration Commission: Tonggang incident is caused by individual encouragement". National Business Daily . 2009-07-28. Archived from the original on 2013-01-01.
  8. "Jilin reported Tonggang incident: general manager Chen Guojun was beaten to death". National Business Daily . 2009-07-27. Archived from the original on 2013-01-01.