China-USA: There is a trade war, a global war

The attack on the Chinese company Huawei (Huawei) and the proposal to include it in the us-China trade deal Donald Trump officially confirmed: this is not a trade war and not a conversation about duties. This is an attempt to stop the technological and economic development of China. But will he succeed?

Us President said that the situation with the Chinese company Huawei, cooperation with which was recently banned for American companies, can be resolved within the framework of a trade agreement with China if it is concluded. The attack on the telecommunications giant Huawei began not yesterday, it is conducted by the United States for several years. The most acute moment was the arrest in Canada of financial Director Huawei and the daughter of the founder of the company Meng Wanzhou. The U.S. Department of Commerce in mid-may made Huawei in the blacklist, which blocks her way to the purchase of components and technologies of American manufacturers. The company is also on the list of companies that are prohibited from doing business with American businesses without appropriate licenses. Google has already suspended cooperation with Huawei in areas requiring the transfer of hardware, SOFTWARE, and technical services, except for those that are publicly available under an open license. Previously, the U.S. took hostile action against another Chinese tech giant ZTE. It all came together. Behind the talk about reducing the trade deficit, protecting intellectual property, which Washington imposed on Beijing, there is actually an attempt to slow down China’s progress towards global technological leadership by all means.

Yes, the US and China are linked by a huge volume of mutual trade — about 800 billion dollars a year. At the same time, China sells to the US $ 250 billion more than it buys. And it supposedly makes trump’s concern. Although this structure of trade was formed for decades and is largely the fault of the United States.

“And what else in America to buy, except soy and citrus?”—ironically once remarked Deputy Minister of Foreign Affairs of the PRC Zhang Hongwei. He meant, first of all, numerous restrictions on the purchase of high-tech products, which were established by the Americans. “We would buy, for example, supercomputers, thereby reducing the imbalance in mutual trade, but on them, as well as on a huge range of goods in the US, there are prohibitions,” explains Zhang Hanhui. — So we had to develop our own, and now China produces the most powerful and fastest supercomputers in the world.”

Trump is also very worried that American companies are placing their production in China. He would very much like to bring them home. Say, thus, Americans lose salaries, the state — taxes, and the Chinese get it all. Yes, even gaining technological experience. The disorder, according to Washington.

But again — it did not happen yesterday. This is the result of many years of a thoughtful policy of the Chinese authorities, which have created an attractive investment climate for foreign companies. Moreover, without any coercion and trade discrimination. Instead of wars and restrictions, China all the time tore off its markets, weakened restrictions and continues to do so contrary to the logic that is now followed by the Americans.

And here in the US “suddenly” found that China has bypassed them in many areas of technological development. In addition to supercomputers, there are many areas where technological leadership has passed to China. The White House has discovered, for example, that China is building a telecommunication network based on the platform 5G, Chinese machines work on the reverse side of the moon, China is creating its own orbital space station, descends upon the water carriers, produces a fifth-generation fighter and so on. Beijing has officially set a goal for Chinese companies to control 70 percent of the world’s high-tech market by 2030.

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By the way, the products of Huawei so pleased the American consumer that the American market has become the most important for the Chinese company. But Trump does not talk about it. Instead, he accuses Huawei of links with the Chinese government and intelligence services, that the Chinese company is allegedly managed from the Central Committee of the CPC. It’s like protesting the sunset in the West.

The leadership of the Communist party can be blamed on any Chinese company. Because the PDA in China is a leading and guiding force. Or the President of the United States and does not know?

Trump is outraged: Huawei collects information about users around the world. Here are all of “the thief and the cap burns”. As if the American telecommunications giants were not doing the same. And in addition — work in the interests of the CIA, the NSA, and other intelligence services.

The Chinese Foreign Ministry has pretended didn’t understand, what does Huawei have to do with trade negotiations. “To be honest, I do not quite understand what the specific meaning of these words said by us leadership is. If you are interested, I would advise you to clarify with the American side what they mean,” — said at a briefing, the official representative of the Chinese foreign Ministry Lu Kang. And he added: “We believe that the US should correct its erroneous actions, stop using state power to put pressure on the enterprises of other countries.”

A little earlier, Lu Kang, demonstrating exceptional restraint, appealed to the leadership of Huawei to eliminate discriminatory barriers that the United States is erecting, using only legal procedures. But how long will you have enough patience?

Head of the Chinese delegation at the talks with the United States, a member of the Political Bureau of the CPC Central Committee, Vice Premier of the State Council of the PRC Liu he clarifies his country’s position: “Sino-us relations are very important, they are the Foundation of trade and economic relations between countries, which affect not only bilateral relations but also affect peace and prosperity on the planet. Cooperation seems to be the only right choice for the parties, but there are also principles. China will categorically not make concessions on important issues of principle.

The bilateral agreement should be equal and mutually beneficial… it is Necessary to cancel all additional fees, as they begin a trade dispute between the parties.”On May 9-10, the eleventh stage of the us-China trade negotiations was held. During this diplomatic marathon, the Chinese kept their composure and made compromises. China has adopted a special law on the protection of intellectual property, further easing restrictions on investment in the Chinese economy, including in sensitive areas. And here during the last round of consultations when the Chinese delegation was in Washington, the USA lifted duties on the Chinese production. It seems that Trump does not seek an agreement at all. Trade claims are just a smokescreen for a targeted attack on China in order to weaken it economically and technologically. Stop the progress towards world leadership. Not to give the opportunity to fulfill the tasks set by Beijing in the social sphere.

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At the same time, the White House does not take into account that not everyone in the US agrees to abandon the Chinese market. More than 140 professional associations in the United States recently sent a message to the President of the United States stating that the increase in tariffs on Chinese goods actually means an increase in taxes for American companies and consumers, which can lead to a reduction in the number of jobs, delayed investment and an increase in the price of goods.

For 40 years, American soybean producers have increased their exports to China, creating for themselves the world’s largest market. American soybean supplies to China in value terms exceed $ 14 billion. Trump says that his government allegedly compensates for losses, but not everyone is convinced. We need a market, not handouts from the White House, the farmers say. And how long can you live on these subsidies, and where to find a new market of the same volume?

So far, China has actually defended itself, trying to find a compromise with the US. But now, apparently, the situation will change dramatically. Realizing that the stakes in this game are too high, Beijing will begin to respond and respond very painfully. It may be a ban on American investment in China, which will cause an unpredictable reaction in the US. In addition, China is the world’s largest holder of American debt. Their release to the market threatens catastrophic consequences for the US and the world financial market, where the dollar dominates. And these are only some levers in the Arsenal of China. At the same time, China is radically changing its economic policy. It is turning from a major exporter into a global importer. Many sectors of the economy are reoriented to a huge domestic market. Sharply increases the purchasing power of the Chinese population, business opportunities, making a win-win development of any advanced sector of the economy.

If until now in the relationship between the United States and China ideological factor was completely absent (largely due to the wisdom of the Chinese leadership), now it can manifest itself due to the stupidity of the ruling class of the United States. It should not be forgotten that, for all its “marketability”, China remains a socialist state with social policy and ideology inherent in this system. China may also recall the unfriendly attempts of the West to organize “color revolutions”, to destabilize its national regions. In any case, to explain to the population the problems that arise because of the actions of a foreign state, the leadership of China will be much easier than the President of the United States — their constituents.

There is another important point. Acting so unceremoniously, us President hurts the national dignity of the Chinese. After all, in their genes the memory of that humiliation to which they were subjected to by colonial powers and about the latest round of their rule in China at the beginning of the last century. Nothing like this now China will not allow. And any arrogant shout will be perceived as a threat.