Next on the chopping block will be South Korea. Every one of them will be forced to buy more Boeing planes and agricultural products to save the USA agricultural sector now in deep trouble. Agriculture is as much a National Security Issue for the USA, because if more farmers go out of business, the USA will face a food crisis. It is so ironic that the USA, once the food bowl of the world, is now producing food that the world does not want.
Brazil, Argentina and Russia are hitching a ride on the food bonanza wagon, with China the market that they had been looking forward to selling to and is now becoming a reality. As farming grows in these three countries, we are seeing a corresponding decline in the USA agricultural sector. How the world has changed!
India and Japan are now being forced to buy rice from the USA, which is just like carrying coal to Newcastle in the old days. Newcastle produces so much coal itself and is an exercise in futility. India is the second biggest rice producer in the world, with Indian farmers surviving on that staple alone. Indians take to their own variety of rice, and I wonder how those USA rice will figure in their diet. Taking away their livelihood is going to create a massive problem for Indian farmers going forward with imported USA rice. But Trump does not care so long as it the USA's interests that he wants to take care of first.
Talking about Japan, I would not know how they are going to use USA rice to make Japanese sushi. I never like Japanese sushi, so I am not one to comment. Should be possible, but will the Japanese take to it.
Anonymous
I would not be so sure about the USA economy not declining especially in the Chip manufacturing sector. Intel is now still cutting jobs, saying that it is correcting manufacturing missteps, which can mean anything. Overinvesting is something they do not want to disclose for sure. It is too painful to think about.
ReplyDeleteSamsung was more upfront regarding its reluctance to expand further in the USA, citing the lack of a bigger market to absorb the increase production resulting from further investments, meaning that it is losing market beyond just China, to put it nicely. Actually, Samsung has only a small market share in China, so the problem is more widespread regarding demand than just pointing to China alone. Of course, we are not the experts and only their words matter. We are just mere mosquitoes buzzing nonsense.
Chips is no longer the talking point. Even if the chips war has failed, the USA will not want to talk further about it. What has been built and invested by TSMC, Samsung and Intel is dead and buried and cannot be expected to be recouped. So does all the subsidies thrown at the problem.
Tariff is the talking point, the beginning of a new growth sector, LOL. Well, countries are still eager and willing to build bridges that will bypass the USA, and not all those tariffs imposed will necessarily contribute to Trump's coffers. It is still left to be seen how countries navigate the treacherous waters set up by Trump. I believe they will find a way, just like Russia and everyone else sanctioned by the USA and the Anglo-Saxon clique. This is not a world centered on the USA alone. This is becoming a world where there is BRICS and a Global South playing a bigger game than just fixated on the USA alone.