Getting tough on the US isn’t easy

William Pesek wrote an article in the Today paper titled, ‘Getting tough on China isn’t easy’ on 22 Jul. He quoted Hillary Clinton’s statement in 2009, ‘How do you deal toughly with your banker?’ I have thus redirected the same question and ask, ‘How do you deal toughly with your gangster debtor?’
 
China has bought up over US$1.3 trillion of Treasury Bills and in a way financing and paying for the Americans’ extravagance that often ended in China bashing. Most of America’s international policies were targeted at China and backed up by a huge military expenditure, to contain China, ironically paid by China. And the Americans are complaining about China, how to contain China to prevent it from overtaking the Americans as the world’s number One economy and military power.
 
This is the strangest relationship of the 21st Century. China paying the Americans to support a huge military force that they used to threaten China in every disagreement, dispute or contested situation, ranging from economics, trade deficits to regional squabbles far away from the American continent.
 
And the best part, the US is trying to get tough with China, talking tough with China and very eager to use force against China to prove who is in charge, financed by China. And China is paying for the aggressive and provocative stance of the Americans. The Americans are the friendly party, the non provocative one. The Chinese are the aggressive one, the provocateur. And the Americans are sending its military everywhere to confront the Chinese in business suits and bags of goods to trade.
 
From China’s perspective, it must be very tough lending so much money to a thug, an international gangster that only believed in the use of force and went about carry guns and bombs instead of peaceful negotiation. And this thug is threatening not to pay what he owes to China and devising all kinds of schemes to wash away its debt, printing money and more money that China cannot do anything about. Would China be able to get its money back if this gangster borrower decides not to pay? It is really very tough when the gangster puts his big gun on the table in every discussion as a show of force.
 
China is really finding it very difficult to get tough with this borrower, with debt up to his eyebrows, and demanding to borrow more when it does not have the same big gun to bring to the table to say no. Isn’t it precarious to lend so much money to a thug that China has no means of overpowering and worst, the thug is challenging the lender to a fight whenever an opportunity presents itself? It is playing wargames in China’s courtyard and telling China what can you do about it.

Who is finding it tough with who?

Kopi Level - Green. Nearly Blue. Thank you and kopi on me on 23 Aug at Hong Lim.