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Trump needs to be scared & intimidated; Banning of a US company set example   [Copy link] 中文

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Post time 2018-3-18 05:46:54 |Display all floors
This post was edited by tenderloin at 2018-3-18 07:39

especially hightech area.
Which US company selected to be banned completely on the ground of national security risk?

I nominate Intel or Broadcom,   

outright banning of Intel product in China will send an shockwave to Trump!!  It's not even tariff but outright banning.

Trump is a Bully who's only good at deliver punch to others but very bad on defense when someone hit him Hard.

China needs to show a mean and nasty streak every once a while in order to fend off US led coaltion crusade of "punishing China"
Needs to hit US where it hurts (Not agriculture, mcDonald)

China needs to show it can a nasty Panda no just a pantsy panda.

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Post time 2018-3-18 08:15:58 |Display all floors
The US should abandon its adversarial hubris towards China, see the situation realistically, and solve its own internal problems first, not push them onto others as cop-out blame because doing so will not help it to identify the root cause of those problems which will therefore continue to grow even if others may bend the first time but with a higher reaction level in other areas. Especially when China is now ready reorganizing its government in preparation for the second-stage of opening its market which will be lost to the US but not others which will then grow globally themselves to challenge the US even more in the near future.

A US trade deficit for an advanced economy means its people are getting things cheaper than if it makes them. This is economic specialization by optimal allocation of productive resources and sensible cost-consciousness to free more capital for investments and improvements in new areas. It is how the whole world progresses.

Therefore, asking China to reduce its trade surplus by USD100 billion will only be workable if the US sells things that China wants which is mainly technologies and those only on short term for China is fast developing its own indigenous technologies that are more cost-efficient and right-sized for those poorer.

After all, how much soy bean, sorghum and super-jets does any sovereign nation need? It is indecent for a supposedly learned superpower like the US to make an indecent and ludicrous demand on any other nation state.

Furthermore, it is unhelpful to ask China as such a sovereign nation to reduce its trade surplus while at the same time calling it a strategic rival and threat to US national security. If China was really so, the US Chamber of Commerce as the biggest in the world would not be asking the Trump administration not to apply tariffs on China's goods because many of those goods are made by them in China, and often in cooperation with their joint-venture Chinese partners. And if they are to make them back in the US, then their prices will have to rise many-fold until even their US customers will not be able to afford them - unless the US cuts its tax again - but that will only increase its debts and cost of doing business - which it wants to reduce.

The US is in its today's situation less because other nations with which it trades have bolstered their own industries but more because it has not sustained its own industrialization;  instead most of its capital has been diverted to financial leverage plays in its stock markets for short-term quarterly earnings to its stockholders thereby increasing its own socially-disruptive wealth disparity while ignoring that the most critical thing they all should instead be doing is to retool US workers and plants to be more efficient, productive, innovative and relevant to global customers with diverse needs which are exactly what other nations like China, Germany, Japan and Korea have been doing.

The US should also not be ungrateful to China for staving off its debts by buying US treasury bonds, now expensive, furthermore at non-manipulated currency levels, in order the US economy to continue to thrive. If China were to stop doing so, the US stock markets and economy will tank in tandem with a new depression accelerated by tariff-triggered protectionism which has historical basis and within living memory of so many Americans affected by the last financial crisis.

Which is why it is hard to understand why the Trump administration is now thinking of stopping more Chinese students from studying in the US and also restricting Chinese investments in US companies exactly at a time when US universities and companies can do with more business and investments to grow and progress so as to be able to partake later in more Chinese businesses opened by China's own economic liberalization helmed by locals, many of whom would have been trained out of western universities like those in the US.

The US should stop its bullying tactic. It wasn't even around as a country when China invented paper, the progeny of printing which today is microchip lithography, the only thing left that matters.

Therefore, yes, Intel and all the other US concerns should take issue with the Trump administration. Lately it seems to have gone off its rockers. Bonkers, in fact.

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Post time 2018-3-18 10:09:02 |Display all floors
This post was edited by sfphoto at 2018-3-18 10:11

China should retaliate by banning Apple, GM and Ford. Next, China should ban the USD.

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Post time 2018-3-18 12:54:43 |Display all floors
This post was edited by tenderloin at 2018-3-18 12:55

Also ban export of rare earth to US and Japan.
Trump needs a serious beat down in order to teach him some manner how behave like a normal human being!
Try to act A bully, then he will be thrown to ground.

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Post time 2018-3-19 00:19:40 |Display all floors
China continually ignores free-market rules and does whatever it takes to capture market share. Meanwhile, the US has been looking the other way when China breaks the rules, thus encouraging them to do it again. China is not a market economy, much less a free-market economy (Currency Manipulation, State-Owned Enterprises, Technology Theft, Technology Transfer - As a condition of accessing the Chinese markets, and China requires foreign companies with plants in China set up R&D facilities in China).

Every Congress and administration since President Clinton has ignored China’s illegal strategies. Instead of facing up to the problems, the US has chosen dialog, diplomacy and collision avoidance over enforcement. With Trump as President, all that's going to change. The recent tariffs is just the beginning.

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Post time 2018-3-19 02:07:25 |Display all floors
This post was edited by sfphoto at 2018-3-19 04:13
tenderloin Post time: 2018-3-18 12:54
Also ban export of rare earth to US and Japan.
Trump needs a serious beat down in order to teach him ...

China is the largest buyer of US Treasury Bills and the number one trading partner of 150 developing countries all over the world. China holds more than one trillion dollars of US Treasury Bills and uses the USD as its trade, settlement, investment and reserve currency. China should sell off its US Treasury Bills and drop the USD as its trade, settlement, investment and reserve currency.

The Trump Administration doesn’t understand that the USA has been living on borrowed money ever since the Reagan Revolution allowed the Wall Street Globalist Capitalists to loot the national wealth of the USA. Let’s see how fast the US debt-driven economy collapses when the USD finally loses its status as the world’s trade, settlement, investment and reserve currency.

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Post time 2018-3-19 04:46:26 |Display all floors
sfphoto Post time: 2018-3-19 02:07
China is the largest buyer of US Treasury Bills and the number one trading partner of 150 developin ...

Go for it! China selling off its debt would hurt China’s economy even worse since they have invested so heavily in the U.S. China has $1.5 trillion in U.S. assets and there is simply no one that would buy them. China would be forced to take a huge loss on these assets. So it’s unlikely they would do anything that would negatively affect their own economy.

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