For decades the world had been led to believe that the USA was the good guy against the bad guys like Russia and China. Communism was touted to be a bad system, and only democracy is good for the world, and everyone must lend a hand to protect democracy against the Communists.
After the breakup of the Soviet Union, the USA thought that it was going to remain the perennial superpower of the world forever with no competitors. The rise of China put paid to that grandstanding moment, and the USA's dream fell apart. China even became a peer competitor, competing with the USA in every sector. This was a hard pill to swallow and that started all the demonization of China, not about its Socialist roots, but about its domination in many sectors.
Using the narrative of the Chinese Government providing subsidies to manufacturing was actually a moot point, knowing that the USA Government had subsidized many of its own sectors and with subsidies that dwarfs what China was doing. It is the pot calling the kettle black and holds no water. That was the reason for the start of Trump's trade war against China, touting subsidies as the reason for the competitive edge of Chinese manufacturers.
Even the Europeans were up in arms over USA subsidies to lure manufacturers to the USA, using tactics such as the 'Inflation Reductions Act' as a cover and not calling a spade a spade. But, as we know, the Europeans had to take it all lying down and watch their industries moving to the USA and elsewhere, without being able to do anything about it.
When trade wars went from 'easy to win' to 'difficult to win', new narratives were formulated like overcapacity and increasing tariffs were dug up to demonize China. Overcapacity is a Godsend for people in BRICS and Global South, with cheaper and cheaper products to enjoy. Increasing tariffs hurts USA consumers more than Chinese manufacturers.
What other nonsense will the USA come up with, now that their AI innovation sectors are facing Chinese headwinds as well?
Anonymous
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The USA can keep banning any Chinese AI competitor within the USA, but the rest of the world are having a great time using DeepSeek's free to use and to innovate and improve AI platform. It is like being given an open check for others to fill in any amount that they want to make more money out of it.
That is taking away the breakfast, lunch and dinner of USA AI developers, hoping to make a killing around the world if they managed to monopolize the AI industry. That dream is almost gone for good and is realistically making the USA AI sector facing a nightmare. Who is going to dominate AI is still an open question. Having seen all the domination by China in many sectors, the AI industry is not a sure win industry for the USA.
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