The Americans are pulling their hair over China's overcapacity in the production of everything and selling them cheaply all over the whole. They are afraid that Chinese products would flood the American market, already so, and kill off all American manufacturing. Actually it is an mischievous American lie. The products flooding the American markets are products for the consumption of American households that the Americans are not producing, except for some high tech products like 5G, Huawei mobile phones, EVs, drones etc etc. In these latter products, the Americans cannot match in quality, technology and price. No fight, no contest.
China does not need to sell to the USA for these products. China has the whole world to sell to and can still sell to the Americans indirectly through parallel importers or relocating their manufacturing to countries not subject to American high tariffs. In the end, the Americans would still be buying and using Chinese products, at higher cost to the average Americans. This is what the clowns in Washington are doing to the detriment of the average Americans.
It is not Chinese overcapacity that will kill American industries and farmers. It is American overcapacity that will kill these industries and the poor American farmers. All the American industries, manufacturers and farmers have been highly geared, to sell to the whole world, particularly China. Increasingly, China becomes their dominant customer, the biggest customer, while the volume to the rest of the world shrinks to insignificance. Losing the Chinese market and consumers would kill all the American industries, manufacturers and farmers.
Their highly geared production capacities would become overcapacity without the China market. China has had enough of the nonsense and stupidity of the Washington clowns and going for decoupling, stop buying from the Americans from high tech chips to potato chips, from software like Microsoft OS, Android or whatever, maybe MacDonald, Starbuck, Coffee Bean, Kentucky would also be banned in China. The fashion houses and brands would face the same fate. Nvidia, AMD, Intel, Qualcomm etc would have a lot of chips in the warehouse with no buyers. So would be the other related industries and the farmers with their crops and meat, with no takers. They will all end up victims of overcapacity. The only way to save themselves from bankruptcy would be to cut production, close down factories, farms, retrenchment, and hopefully they did not have big bank loans to pay.
There will be recession and worse across America, all self inflicted by the clowns in Washington. Downsizing is the only way forward, provided it is not too late. No country in the rest of the world would be there to buy overpriced and low quality goods from the Americans when they can buy better and cheaper products from China. The legacy car industry is the first to go. Boeing is also going. The chip manufacturers would be next. Poor TSMC plunging billions into new plants in Arizona would have to fold up before it starts production.
Yes, America will be killed by overcapacity of their own kind, without the Chinese market. Period.
