BRICS is not cheering for Biden or Trump winning in
November. To them, it is an election of minor importance, unlike in the
past. The policies will be the same under the lame 'walking dead' Biden
or the con-man Trump.
Both are immune to shame trying to tell
the world their achievements. Trump's boasts had been laughed at by UN
members, but he felt no shame. Does a conman feel shame cheating others?
Certainly not! What have they really achieved besides bringing more
misery to the world with trade wars, sanctions, wars and threats.
The
irony is that both are hurting their own citizens with their trade wars
and sanctions, rather than hurting the other party. Raising tariffs is
not going to kill Chinese exports overall. China can easily migrate its
products to the Global South, continue selling them at prices outside
the tariffs.
USA citizens will have to pay more for their
purchases of Chinese goods, with the tariffs piled on top. Raising
tariffs to 1,000% is still going to hurt their consumers much more than
hurting China. Sure, Chinese exports to USA will fall due to lower
demand in that market, but never forget the Global South market is much
bigger than the USA and Europe combined. Unless China had no other
outlets to sell their products, keeping Chinese products out of the USA
is no magic cure that is going to backfire badly.
Anonymous
Trump and Biden are taking the USA voters to be just 'dim wits' with their tariff escalation against Chinese products. Keeping voters dim and ignorant does have great advantages for blind policy implementation. However, on the flip side, it is not going to hurt Chinese manufacturers that much and put them out of business, as Chinese investors have already figured out long ago, after Trump's trade war, that this was going to happen and have been moving operations into the Global South.
ReplyDeleteChinese manufacturers have been relocating factories to Vietnam, Bangladesh, Mexico and even to friendly European countries like Hungary and Slovakia among others, over the last several years, particularly after Trump's trade war.
Investing further in the USA and EU is deemed suicidal in the face of USA and EU policies against Chinese manufacturers. The USA and EU seems to forget that there is another much bigger world outside of the USA and EU, and a bigger market rising for Chinese manufacturers to dominate. Africa, with 1.4 billion population on the continent, is a big market to conquer, with the USA and EU combined population of just a mere 1.1 billion.
Sure, Africa is still poor, but that is assuming that Africa cannot rise like dirt-poor China, in just three decades with Chinese help. And dominate the Chinese eventually will, with cheaper energy, abundance of raw materials, supply chains, skilled workers and an enlightened Government charting the direction of investing in rising industries in the future.
The trade war backfired badly on USA consumers with the USA Government gloating about success that actually harbored failures on all fronts. It deprived the USA of good jobs that could be generated with Chinese investments. Not only are Chinese investor avoiding the USA, skilled science and engineering expertise are leaving the USA in the face of dwindling opportunities for innovation. Further, there is always the possibility of being targeted for spying at the USA's whims and fancies. Why suffer the indignity of going to jail and killing their careers?
China welcomes all these ready-made scientists and engineers, trained and proven free of charge, coming home to help the country move forward. It is a blessing in disguise and a big loss for the USA and a big gain for China.
But let the USA continue to bask in the fake thinking that trade wars are easy to win, and sanctions will drive China down. Some media commentators are not calling Trump a conman for nothing. Trump could lure a bird to come down from the tree with his conman mouth. Let us give him credit for that!