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That, and way overpromise on what can actually be achieved by cracking down on China. Legolas Send a noteboard - 09/12/2024 05:12:49 PM

View original postWhere Trump really fucked up here was with his idiotic attacks on other trade partners, threatening tariffs on Canada, Mexico, the EU, and others whilst finally doing something about the undeclared trade war China has been waging against America for a good 10-plus years. Picking fights with multiple trade partners all at the same time is self-defeating and just plain dumb. Plenty of other countries, US allies and otherwise, have serious trade issues with China. A wise leader would have tried to rally them into tackling China together. In both nominal and PPP terms the US GDP is about $29.2T, but the Chinese one goes from $18.3T to $37.1T, in rough numbers. China is big; it, like America, has critical mass economically. It’ll be tough to force change on them without the help and coordination of others. Once some sort of meaningful change has been effected - and it needs to be after the fact because fuck taking any more empty Chinese promises - then would be the time to take up problems with other countries’ trade practices. Alas, he’s on rinse and repeat.

Of course there are issues with how China treat foreign investors, steals intellectual property, massively dumps some products on the international markets, etc. - but even if you can resolve all those, there's still going to be a limit to how much low-value-added manufacturing you can keep in the United States paying many times the wage paid in other countries (even if Chinese wages for such manufacturing have already increased tremendously in the past thirty years). In the long run you can't have your cake and eat it too. And these threats of blanket tariffs on all goods coming from China or other countries are even stupider and more damaging to the American economy, as well as the global one.

Geopolitically speaking, the US is lucky that China doesn't seem to consider it a high priority to build true partnerships with any foreign countries, only purely transactional relationships where China doesn't much care about the partner's long term interests. Countries like Pakistan that accept too much Chinese investment end up strangled economically as a result but China doesn't seem to care, so they aren't making themselves nearly as popular as they could be. Of course, the US under Trump are much the same, but at least with the US one can figure that there will also be better times.

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That, and way overpromise on what can actually be achieved by cracking down on China. - 09/12/2024 05:12:49 PM 242 Views
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