Sanction versus sanction...Who is the winner?

 The sanctions war by the USA and EU killed the European economy. This was the unintended (or should I say intended) consequence of using the modus operandi of the one-trick pony trying to control the world with sanctions that they had been using for more than half a century, since the rise of the US$ hegemony after WW2. That trick no longer works and is backfiring on Europe. Countries have learnt how to navigate around those sanctions and even profited from it.

Now, it is all about threatening to impose tariffs on the rest of the world, not just against China. The USA does not seem to realize that there is now another trading bloc rising within BRICS and already functioning under the radar, which members and partners can rely on. Tariffs will fail faster than sanctions and become toothless in no time.

In spite of the technology war, China is not collapsing. In fact, China is de-risking itself from Western technology control by going for self-dependency. China has vast control and leverage over raw materials, cheap energy and a skilled undiluted Chinese workforce. China is pouring huge resources into research and development within the chip industry and has found much success. This is not the only sector that China is fighting against for domination. China is fighting its battle on may sectors like EV, solar panels, wind turbines and soon the aviation industry.

The USA and the West can continue to gloat about China still about three to five years behind their top-end chip mastery, but soon they will be crying foul about China's overcapacity in high-end chip manufacturing. What humans can achieve, other humans can also achieve in time.

China is now going after Nvidia, probing its monopolistic position. What this is indicating is that China is confident enough to take this step knowing its domestic players are beginning to show their clout.

Let the USA and the West continue to rest on their laurels about being still in front and China still chasing for glory. When the shit hits the fan, we shall see the fun.

Anonymous