China, new candidate for containment policy.

CHINA IS MUCH GREATER THREAT THAN RUSSIA

TARIFFS ARE JUST THE BEGINNING OF PRESSURE ON CHINA

Much is being made of the Trump administrations's new attempt to re-negotiate trade policy. Trade negotiations have been successfully accomplished with South Korea, Mexico, Canada and European Union. Negotiations with Japan are presently underway. A deal with  the United Kingdom will be easy after they are done with Brexit. China is going to be the most difficult to accomplish.

The negotiations with much of the world have dealt with removing barriers and unequal tariffs on U.S. products. This is all in an attempt to improve the competitiveness of United States farmers and Manufacturers. So far it seems to be a successful endeavor that will benefit all Americans and also some in the third world. China on the other hand, is another matter. China is still a communist country. While it has allowed certain areas of the country to engage in a capitalist economy in an effort to become a world power it has not really become a equal partner in the world community.

China has engaged in practices to steal intellectual and copyrighted information to enhance and accelerate its economic expansion. It has engaged in sophisticated industrial espionage activities at American companies and universities. Some believe it has flooded the world with steel and aluminum products that if left unchecked will eliminate competition and threaten national security. Much of this steel and aluminum is shipped to intermediate countries where it is reshaped and then listed as a product of our allies. It has also shipped other products to intermediaries that have favorable trading with the United States. It has required those that manufacture in China to turn over all intellectual property associated with products manufactured there.

After Nixon's trip to China in the late 1960's China was given favorable trade agreements with the hope that they would eventually become trusted members of the world community. It has become wealthy by manufacturing products without any environmental, safety, union power or legal restraints. International and American business has also become wealthy by importing low priced goods from China and selling them in advanced economies restrained by regulations of all types. This is a very unfair advantage for all western workers. 

China has not only worked hard to become an economic power but has engaged in a program to become a military super-power. Much of this has been accomplished by the theft of intellectual property and espionage. They are attempting to project power worldwide, not just in Asia. They have become more than just an economic competitor but an economic and military threat.

Much of this has been made possible by the willful acquiescence of western governments and companies, who are often cooperative in maximizing profits. Corporate lobbying to keep the status quo is intense. Movements to insure guaranteed incomes and benefits for displaced worker, while enhancing the ability of providing buyers for products made in low cost countries is also allowing China to become a world power.

The United States policy of containment that was implemented against Russia, who when implemented was not a threat to the United States, would be much more appropriate as a policy for China. The problem is that many, both in government and business, are being made wealthy by our trade with China while Russia was never a source of great profits.

We seem to be living in an age when national self interest is overwhelmed by a desire to enhance the economic well being of those who profit from this present policy at the expense of American workers and national security.


Originally published 11/13/2018