The Washington clowns are still doing their clowning acts to bring down China. They are continuing to sanction Chinese companies, Chinese business leaders, Chinese tech, anything Chinese. They have a killed list, called Entity List. Any Chinese company or leader put into this list means cannot trade with for American companies and applies to countries of the world, allies, crony states or the Global South countries.
The impact of this Entity List means American companies cannot do business with many Chinese companies. And the corollary effect, American companies also cannot trade with Global South countries that have businesses with Chinese companies in the List. Companies of American allies and crony states are likely to stop trading with Chinese companies in the list or sanctioned by the Americans. The overall effect is that America will have fewer or lesser countries and companies to do business with.
The thing is that the Washington clowns did not know that America now has very few things to sell to the world, or but many things to buy from the world. So they have fewer clients to trade with both ways. Basically, America now only has two commercial products that they can sell the world, Apple and chips. The world does not need anything else from America. Even Boeing is being rejected by many countries. To add to Boeing's problem is their inability to produce and deliver due to safety and quality problems. Delivery time is being extended in perpetuity, forcing customers to look for new sellers.
The only source of real income is sale of weapons. This also faces the same problem of bottlenecks and inability to deliver when production is slow, productivity is low. Further, the credibility and trust of American weapons are now a big issue. Every country is wising up to what they are getting from the Americans, compromised or watered down version, kill switches, strings attached and outrageous prices that are not valued for money. The weapon and arms market for the Americans is shrinking. Altenative suppliers are coming up with cheaper and better products and with no string attached. The Americans can now only sell to suckers that have no choice, that are controlled and coerced by the Americans to buy American products.
The rapid rise of Chinese technology is now a big challenge to America and the West. China is now able to manufacture practically anything the Americans and the West used to product, at better price, better quality and functionality. What is left for the Americans and the West to sell to the world is now limited to a handful of products. And even these would not stay for long. China would soon replaced them just like they are replacing everything. There will be nothing America and the West can sell to the world in the next few years, 5 or 10 years at most. All automobiles will be made in China. Even Mercedes, BMWs, sports cars, they will be using Chinese batteries, the new engines of EVs. So will be the fate of high end chips and chip making machines.
American and European manufacturers of all things will go kaput. They cannot compete in price and quality with Chinese made equivalents and new products like robotics, weapons and humanoids. The Washington clowns need not waste their time with the Entity Lists. America and Europe will have to buy everything Chinese. They have no choice. Chinese manufacturing and production capacity will all American and European industries in a matter of time, slowly and quietly... with a big bang.
1 comment:
Trump is actually helping to kill the USA using slow motion demolition. He is unknowingly accelerating the de-dollarization movement with his efforts to monopolize and use energy sanctions against countries, whether for exporting oil and gas or importing them.
But do not be mistaken that the fall of the USA or the US$ will be quick and sudden. The US$ has been woven deeply into the Global financial system and it takes time to pull out the roots for it to be rendered just another alternative like the British Pound. It will happen nonetheless, and it is only a question of time.
The sanctions against Iran and Venezuela have pushed these two countries to deal in oil exports outside the US$, although Venezuela is now being taken over, or so it seems. The energy sanction against Russia follows the same pattern, with Russia now selling oil to China and India all done outside the purview of the US$ vis SWIFT. Moreover, Middle East oil exporters are also doing some oil trade outside the US$ as well. These are not trade deals done in pennies and has taken a big bite away from the use of the US$. The above countries no longer need to keep reserves in US$ as to them, that is more like keeping banana notes which they cannot use. Which is why the US$ usage has fallen substantially over the last few decades.
Of course, the USA and the West can continue to hype up the narrative that BRICS is just a to-fu set up of no significance and will collapse sooner or later. Let them be lulled into another false sense of security. The USA and the West still control the propaganda machinery of the world and countering that is not easy, but social media is helping and travel opening is providing real-time countering measures.
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