
So when it comes to North Korea, they prop up the regime not out of some brotherly support or commitment, but because a failed state bordering them is unacceptable. And a failed state is exactly what North Korea would be without Chinese aid. They look down on Kim Jong-il and his cronies, his state is a constant reminder of the failures of Maoist agricultural policies, something the Chinese themselves moved past decades ago. When the most recent nuke test was conducted, every market in the region save Japan took a hit. China wants that cash money, and the only reason that they tolerate Kim's shenanigans cutting into their bottom line, is because cutting him off would hurt them even more.
Now if China does have influence on North Korean behavior, we can pressure China into calming Kim's ass down or quietly getting rid of him altogether by convincing the world that only China can change North Korea's behavior (true, barring a VERY unlikely US military intervention) therefore China is responsible for North Korea, and must act to prevent instability in the region. Essentially, every time North Korea does something, start blaming China for not actively working to stop them. Kind of like how people blame the US every time Israel does something they don't like.
But I fear that especially now with a leadership transition taking place even China has far less influence in the region than they let on. The real reason for all the sabre rattling, is quite simply to help strengthen the leadership during the succession. Kim Jong-il now has a visible droop (see picture above) on his left side from the stroke. They're afraid that they might appear weak to the outside world, and more importantly, to their domestic audience. And in the middle of a transition to Kim Jong-un, this cannot stand.
China realizes that an open and reunified Korean peninsula is in everyone's interests. After all, who wants a potential nuclear conflict next door to them? But they don't really know how to make that happen, and neither do we. It will happen the day that the US and China finally come to the realization that only by working together can they accomplish all the things they want to in the coming century.
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