10/10/2023

The USA destroys everybody - cronies, allies and friends alike just to serve its own interest.

 The USA destroys everybody - cronies, allies and friends alike just to serve its own interest. Those countries that thinks any alliance with the USA to confront Russia or China is for their benefit, better clear their clouded minds, and remove those blinkers erected in front of their eyes. That does give credence to Henry Kissinger's warning true to form that being a friend of the USA always ends in fatality.

To prove it, the USA is destroying the EU, forcing Nato to confront Russia to serve the interest of the USA. Germany, France and others, most of which had for decades been enjoying cheap Russian energy to run their industries and grew their manufacturing base are now suffering in silence. Now, they are all going to the dogs, with Germany already in recession. With the biggest economy in Europe in such dire straits, no need to say in what state are the rest of the EU countries.

Now, the USA is not only making life miserable for countries to confront China, it is even making life intolerable for USA companies and those of its cronies doing business in China. The USA even had the cheek to warn China not to target USA companies doing business in China while it keeps erecting hurdles against Chinese companies in USA. Now the EU is jumping on the bandwagon and talking about investigating subsidies by China for its EV being sold in Europe. Who is behind all this? Why are they not talking about the US$52 billion subsidies extended to USA chip makers in Arizona? This was broached and protested against by the EU after the subsidies were announced by the USA, but seems to have died down without a whimper being heard from the Europeans.

The USA and the West had all along been thinking that China was too weak and highly dependent on Western chipmakers to retaliate against their high handed Mafia tactics of castigating Chinese companies like mobile phone and communication equipment maker Huawei, drone maker BJI and now going against EV maker BYD and also Tik Tok. These are companies that are competing so well against Western companies that they needed to be stopped. They assume that these are companies like Toshiba and Alstom that could be stepped upon without Japan or France raising a finger in protest.

Now China is not taking all this lying down, taking the initiative to retaliate, starting from Trump's trade war. Fancy telling the Chinese not to retaliate and just let them slap the right cheek and even wanting China to give them the left cheek to slap as well. China knows it is now time and is almost capable of overcoming dependence on the West in the last bastion of the Chips business and confident enough to take a stand.

China still holds the cards in the technology supply chain, with its control of the rare earth resources and refining expertise. And like Russia in Ukraine, China has still lots of cards to play with, if the USA and the West wants to escalate the tech war.

Anonymous

1 comment:

Anonymous said...

What could not destroy the USA from the outside, militarily or economically, the USA will self destruct sooner or later. All empires have to fall, with no exception.

The political polarisation in the USA is tearing the country apart and never looks uglier. The debt ceiling issue is not going away, and is in fact getting more serious, with 'kicking the can further down the road' not a solution. The homeless issue is not going to be solved as well, as more money is needed now for Israel. The drug problem is getting out of hand and the USA needs a bogeyman to take the blame, with China already singled out for demonisation. Infrastructure renewal costing US$ trillions is out of the question, having been explored with the funding problem unsolved. So, just live with the crumbling infrastructures is what USA citizens are told, just like the USA Government itself being told to continue using the International Space Station until it falls apart. What can the USA do?

Added to that is the de-dollarisation 'Sword of Damocles' hanging over the USA's head. The rate hikes have sucked US$ back into the USA's financial system, resulting in other countries' currencies suffering loss of value, having to buy higher valued US$. Some countries have tried to raise interest rates to compensate, but are not succeeding. The Japanese Yen suffered the biggest fall this year or two, with the Euro and British Pound not spared. Expect the Japs to unload more of its US Treasury holdings, knowing Japan is trying desperately to prop up the Yen.

The creation of a new global currency supported by gold and commodities is the fairest move for the whole world. No country must be given the right to have its currency be used as a global reserve currency, thus giving it the unilateral right to abuse it as well. This must end, albeit with lots of pain initially, but equally lots of gain for the world at large going forward. BRICS must solve this problem once and for all.

Let the world decide. Either to live with the US$ hegemony and continue suffering for it, or take the painful step of migrating to a new global reserve currency that no country can use for sanctioning others and getting more abusive. Remember, the use of sanctions can happen to any country and no one is safe, allies and cronies included. Alliance can change and being safe is not a guarantee. Sanctions could be targeted at anyone, and the world cannot just sit back, wait and ask 'Who is next?'