Nets owner Joe Tsai, the first Chinese owner of an NBA franchise, on Monday stepped into a growing controversy that threatens to embroil the league in the geopolitical divide between protesters in Hong Kong and the central government in Beijing.
As the Nets team charter was approaching Shanghai where the team will play the first of two preseason games this week, Tsai released an “Open letter to all NBA fans” via Facebook offering his thoughts on the controversy that began with Rockets GM Daryl Morey’s open support of the protests in a tweet Friday night.
While conceding that Morey has a right to “freely express” his opinion, Tsai also suggested that the Houston executive should have understood the dispute in Hong Kong is a “third rail” in Chinese culture for historical reasons.
Tsai portrayed the protests not as grass roots attempts at further self-determination in the former British colony but as a “separatist movement” and a threat to China’s “territorial integrity,” borrowing the language of Beijing and its supporters in Hong Kong. Tsai noted that integrity is a concern not just for Beijing but for the country’s 1.4 billion people.
“Supporting a separatist movement in a Chinese territory is one of those third-rail issues, not only for the Chinese government, but also for all citizens in China.
“The one thing that is terribly misunderstood, and often ignored, by the western press and those critical of China is that 1.4 billion Chinese citizens stand united when it comes to the territorial integrity of China and the country’s sovereignty over her homeland. This issue is non-negotiable.”
Meanwhile, ESPN reported that Tsai, who bought the Nets and Barclays Center for $3.5 billion last month, is playing a key role in trying to get the dispute resolved. Ramona Shelburne tweeted that Tsai has been crucial in the NBA’s discussions with Chinese officials.
New Brooklyn Nets owner Joseph Tsai has been a major asset for the NBA in managing this crisis in China. Just as he was with UCLA during the LiAngelo Ball incident.
— Ramona Shelburne (@ramonashelburne) October 7, 2019
In his statement, Tsai seemed to suggest that he may be involved and in fact, the statement is an attempt to help the league and its fans both in North American and China understand the issue, perhaps find common ground...
“The Rockets, who by far had been the favorite team in China, are now effectively shut out of the Chinese market as fans abandon their love for the team, broadcasters refuse to air their games and Chinese corporates pull sponsorships in droves.
“Fans in China are calling for an explanation – if they are not getting it from the Houston Rockets, then it is natural that they ask others associated with the NBA to express a view.”
The controversy moved quickly and seemed to surprise Morey, the Rockets and the NBA at a particularly sensitive time. The Nets and Lakers are playing games Thursday and Saturday vs. the Lakers and Adam Silver is expected to hold a press conference in China later this week, all against the back-drop of the 70th anniversary of the Communists’ triumph and reunification of the country in 1949. The Silver press conference had been expected to focus on the league’s successes in the world’s most populous country but is now likely to be taken up by the controversy.
Silver, in Kyodo, Japan, admitted Monday night that the controversy has been costly, but said the league would continue to support Morey.
Adam Silver to Kyodo News: “There is no doubt, the economic impact is already clear,” he said. “There have already been fairly dramatic consequences from that tweet, and I have read some of the media suggesting that we are not supporting Daryl Morey, but in fact we have.”
— Tim Reynolds (@ByTimReynolds) October 7, 2019
Silver called Tsai’s statement “a fairly lengthy explanation from his standpoint on why (Morey’s) words are so hurtful to Chinese fans.”
The games, too, are now likely to become secondary to the controversy. Tsai in fact argued in his statement that “the hurt that this incident has caused will take a long time to repair” and pleaded with the Chinese fan base to “keep the faith in what the NBA and basketball can do to unite people from all over the world.”
Morey, who reportedly has friends in Hong Kong, wrote in now-deleted tweet Friday “fight for freedom, stand with Hong Kong.” The response by Chinese authorities and businesses was swift and telling.
On Sunday, the Chinese Basketball Association, headed by former Rocket Hall of Famer Yao Ming issued a statement that expressed its “strong opposition” to what it called Morey’s “improper remarks regarding Hong Kong.” The CBA said it was suspending “exchanges and cooperation” with the Rockets. Two video outlets said they would not run Rocket games and two major sponsors, including shoe brand Li Ning, suspended their relationship with the Rockets. The Chinese Basketball Association even canceled G League exhibition games between Rockets and Mavericks affiliates scheduled later this month in China. The Rockets had been immensely popular in China because of Yao’s years with the team.
The Chinese Consulate in Houston also issued a statement urging the Rockets to “correct the error and take immediate concrete measures to eliminate the adverse impact.”
Tillman Fertitta, the Rockets owner, distanced himself from the tweet, saying “we are NOT a political organization” and Morey himself issued a statement, “I did not intend my tweet to cause any offense to Rockets fans and friends of mine in China,” adding “I was merely voicing one thought, based on one interpretation, of one complicated event.”
Then, the NBA issued its own statement, tip-toeing around the issue, with PR director Mike Bass writing...
“We recognize that the views expressed by Houston Rockets General Manager Daryl Morey have deeply offended many of our friends and fans in China, which is regrettable. While Daryl has made it clear that his tweet does not represent the Rockets or the NBA, the values of the league support individuals’ educating themselves and sharing their views on matters important to them. We have great respect for the history and culture of China and hope that sports and the NBA can be used as a unifying force to bridge cultural divides and bring people together.”
Enter Tsai. In his statement, he noted...
“As a Governor of one of the 30 NBA teams, and a Chinese having spent a good part of my professional life in China, I need to speak up.”
Born in Taiwan, educated at Lawrenceville School in New Jersey, Yale and Yale Law School, Tsai is a dual citizen of Taiwan and Canada. He maintains residences in both Hong Kong and outside San Diego. His enormous wealth, however, derives from Alibaba, the Chinese e-commerce giant.
He has been openly critical of the Trump Administration’s trade war with China, but has not said much publicly about the protests in Hong Kong, now in their seventh month and increasingly violent.
Although the protests began when China tried to impose extradition laws permitting authorities in the People’s Republic to try Hong Kong residents in mainland courts, they have broadened and call into question Hong Kong’s relationship with the central government. Hong Kong has been a “special administrative region” since the British left in 1997. The Hong Kong protests have not resonated in Chinese cities, with U.S. officials saying the Chinese population strongly supports the government. One U.S. official said mainland Chinese see Hong Kongese as “pampered.”
In his Facebook post, Tsai wrote at length about the last 150 years of Chinese history, including how Hong Kong was carved out of China at a time of great weakness and noted...
“I am going into all of this because a student of history will understand that the Chinese psyche has heavy baggage when it comes to any threat, foreign or domestic, to carve up Chinese territories.
“When the topic of any separatist movement comes up, Chinese people feel a strong sense of shame and anger because of this history of foreign occupation.”
How will this effect the Nets players and staff, who are likely to get peppered with questions, as will the Lakers, about the controversy. The organization will almost certainly let Tsai take the lead, and in fact his statement seems to be the first step in that direction.
“I hope to help the League to move on from this incident. I will continue to be an outspoken NBA Governor on issues that are important to China.”
Will Chinese basketball authorities —along with sponsors and fans— switch their loyalties from the Rockets to Nets? Perhaps, but the larger question now is how much damage has the rift created for a league that depends increasingly on its Asian growth.
- N.B.A. Executive’s Hong Kong Tweet Starts Firestorm in China - Sopan Deb & Marc Stein - New York Times
- Why the N.B.A. Apologized to China Over Daryl Morey’s Tweet About Hong Kong - Daniel VIctor - New York Times
- Colliding With China, the N.B.A. Retreats With a Bruised Spine - Michael Powell - New York Times
- Nets owner Joe Tsai denounces Rockets GM for supporting Hong Kong protest - Stefan Bondy - New York Daily News
- NBA Apologizes as Rockets GM Tweet Sparks Furor in China - Derek Wallbank - Bloomberg News
- The NBA Feels a Backlash in China After a Tweet Supporting Hong Kong - Ben Cohen - Wall Street Journal
- The Rockets have long been huge in China. Then their GM tweeted about the Hong Kong protests - Ben Golliver - Washington Post
- NBA, Rockets face backlash in China over general manager’s tweet - Ben Golliver - Washington Post
- Lakers head to Shanghai amid NBA-China controversy - Tania Ganguli - Los Angeles Times
- Basketball: NBA boss Silver addresses Morey tweet controversy in Tokyo - Joel Fitzpatrick - Kyodo News Service
- Why the NBA cowered to its Chinese overlords - Dan Wetzel - Yahoo! Sports
- Brooklyn Nets owner Joe Tsai weighs in on Houston Rockets storm, saying for Chinese citizens, sovereignty is ‘non-negotiable’ - South China Morning Post
- What China’s condemnation of Rockets could mean for Joe Tsai’s Nets - Brian Lewis - New York Post
- Nets owner Joe Tsai rips Rockets GM Daryl Morey for supporting Hong Kong demonstrators - Yaron Steinbuch - New York Post
- China suspends business ties with NBA’s Houston Rockets over Hong Kong tweet (VIdeo) - Laura He - CNN
- NBA’s China problem: How global growth led to geopolitical risk - Daniel Arkin - NBC News
- James Harden apologizes as controversy grows: ‘We love China’ - ESPN
- Rockets’ general manager’s Hong Kong comments anger China - AP
- NBA statement different in English and Chinese - AP
- Brooklyn Nets owner, Alibaba co-founder Tsai decries Houston Rockets GM’s Hong Kong tweet - Josh Horowitz - Reuters
- Brooklyn Nets’ owner Joseph Tsai condemns Rockets manager Daryl Morey’s tweet in support of Hong Kong ‘pro-democracy’ protests - Agence France Presse
- Rockets GM Daryl Morey’s Pro-Hong Kong Tweet Ignites Geopolitical Scandal Between NBA and China - Chris Mannix - Sports Illustrated
- Daryl Morey’s Hong Kong Tweet Has Put His Relationship With the Rockets in Limbo - John Gonzalez - The Ringer
- James Harden says “we love China”, Nets owner Joe Tsai weighs in on Morey Tweet - Kurt Helin - NBC Sports
- Joe Tsai, Brooklyn Nets owner and Alibaba co-founder, blasts NBA GM’s pro-Hong Kong tweet - Ryan Gaydos - FOX Business
- The Rockets’ red glare - Tom Ziller - SB Nation
- The limit of the NBA’s dedication to free speech - Tom Ziller - SB Nation
- How Much Is China Worth To The NBA? - Ray Ratto - Deadspin
- The NBA Doesn’t Give A Fuck About People - Drew Magary - Deadspin
- Nets owner Joe Tsai posts lengthy open letter about Daryl Morey situation - Sportsnet Canada
- NBA chooses money over principle in response to Chinese backlash over tweet - Bruce Arthur - Toronto Star