US Policy Toward China All About Containment
by Stephen Lendman (stephenlendman.org - Home - Stephen Lendman)
The US seeks dominance over other nations, especially China and Russia, both countries able to challenge its hegemonic objectives, especially when united for common aims.
Obama's Asia pivot, continued by Trump, is all about advancing Washington's regional presence politically, economically and militarily.
US policy toward Russia and China aims to marginalize, weaken, contain, and isolate them, an agenda doomed to fail.
US trade war with China aims to achieve these objectives. Trump regime hardliners want Beijing's advance toward becoming an economic, industrial, and technological powerhouse undermined, its sovereign rights subordinated to US interests.
Washington treats all nations the same way, allies and adversaries alike, wanting them colonized and controlled, why confrontation with Russia and China may be inevitable.
Sino/US trade talks broke down over unacceptable US demands, further talks not so far scheduled. Reportedly Xi Jinping and Putin will meet on the sidelines of the June 6 - 8 St. Petersburg International Economic Forum (SPIEF), both leaders to discuss their geopolitical tactics in dealing the US, among other issues.
Strong Sino/Russia unity is a vital counterforce to Washington's aggressive imperial agenda, threatening their interests and world peace.
Both nations increasingly cooperate on major issues, including joint implementation of Beijing's One Belt One Road initiative.
It involves potentially trillions of dollars in infrastructure development and investments for longterm growth, along with promoting the vision of both leaders for advancing multi-world polarity, countering Washington's unipolar worldview.
Both leaders will surely discuss hostile US actions against their countries, Iran, Venezuela, and North Korea, including policies they support to counter them.
Blacklisting Huawei and its affiliates is a Trump regime shot across the bow for likely more hostile actions to follow.
Restricting US high-tech exports to China as a way to stifle its technological growth won't go unanswered. Escalating pressure on Beijing hasn't worked so far and won't likely ahead.
Reportedly the Trump regime is considering hostile regulatory actions against China under the 1940 Export Control Reform Act (ECRA), enacted at the onset of WW II with Washington's involvement in the war in mind.
Its purpose was to control key commodities, along with curbing exports to imperial Japan related to its war effort, provoking its leadership to attack the US, a war it didn't want, knowing it couldn't win.
Corporate America and FDR got the war they wanted. As the saying goes, the rest is history. Imperial Japan became a virtual US colony. So did the CIA-created EU. Its member states largely do Washington's bidding even when harming their own interests.
The Trump regime may invoke ECRA authority, revoking license exemptions US companies get for exporting high-tech products to China for civilian use.
Products for potential military use could be banned, including so-called dual use items, similar restrictions imposed on Russia, Iran, Venezuela, and other US adversaries.
Other constraints could be imposed on designated exports to China, curbing or prohibiting them.
Beijing reportedly drafted legislation in response to Trump regime actions against Huawei and actions to restrict US high-tech exports to China.
Its Cyberspace Administration proposed measures, requiring information infrastructure operators to "evaluate national security risks" when purchasing foreign products and services.
If adopted and invoked against the US in retaliation against its hostile actions, targeted US exports could blocked from the Chinese market for national security reasons.
Toughness cuts both ways. China has lots of ways to counter unacceptable Trump regime actions. US tech giants like Apple are vulnerable.
Citibank sharply lowered its outlook for the company, saying protracted US/China trade war will cut its sales in half to the country in Q III and IV, saying:
"The US/China trade situation will result in a slowdown of Apple iPhone demand in China as (its) residents shift their purchasing preference to China national brands," adding:
"China represents 18% of Apple sales which we believe could be cut in half." Other US tech companies could see their sales to the country adversely impacted.
Ahead of last November's US midterms, Mike Pence turned truth on its head, accusing China of aiming to undermine the US political system, urging tech giants like Google to cease selling its products and services in the country until it bows to Washington's interests.
Targeting China's telecom/high-tech giants ZTE and Huawei may be prelude for lots more US toughness to come.
With plenty of options Beijing can adopt to challenge hostile US actions, it's a foolhardy strategy for the Trump regime to adopt.
When protracted, trade wars assure losers, not winners. Days earlier, Xi Jinping said he's prepared for a longterm struggle if things go this far.
Hardball tactics with China won't work. It can retaliate with as much toughness as it takes if Trump regime hardliners want to play this game.
With reelection in 2020 in mind, Trump's overriding objective, taking steps harming the US economy could make him a one-term president.
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My newest book as editor and contributor is titled "Flashpoint in Ukraine: How the US Drive for Hegemony Risks WW III."