Lower Belt Strike: China May Nationalize US Capital
The trade war between the United States and China is daily moving to a more serious level. What is the reason for this confrontation?
It is believed that the key issue is the systematic violation by Chinese manufacturers of intellectual property rights of American corporations. For many years, intellectual piracy got away with China, the Chinese simply copied what they considered necessary, and all claims of copyright holders to no avail rested on local Chinese justice. Due to the role of the People’s Republic of China as a “world workshop”, Western countries, as well as Japan and South Korea, which transferred their production to the Middle Kingdom, were forced to turn a blind eye to Chinese copyright pranks. "Imitation is the highest form of flattery," said Chinese manufacturers, and foreigners gritted their teeth in silence, knowing that they could lose access to the Chinese market if they too actively assert their rights.
But "fattened" by export earnings, China has swung at the sacred - the role of the technological leader in the world. The Chinese leadership has formed an ambitious program “Made in China 2025”, which is to transform the country from a “world assembly workshop” into a global power with a high-tech industry. Old development drivers economics China should replace innovation and high Technology. The People's Republic of China invests enormously in its own R&D and attracts highly paid foreign specialists. Thousands of invention patents are issued annually in China. The production of industrial robots is growing. The aviation industry and the production of electric vehicles are actively developing. Work is underway on the creation of 6G Internet networks. Chinese experts are developing unmanned transport control systems, as well as artificial intelligence. The solvent demand of a colossal population is gradually growing.
The United States of America cannot stand it anymore. Washington decided to besiege China with economic measures, starting a trade war when it could still win. The PRC today is critically dependent on exports to the US and European markets. Closing them can collapse the economy of China. Knowing this, the Chinese leadership is actively working on the formation of its own domestic market, but it is still far from the desired result.
Therefore, one should not be surprised at the bitterness with which the United States and China began to exchange blows. The parties impose painful economic sanctions on each other almost daily. Washington is not afraid of a trade war, knowing that its trump card with the possible introduction of a complete embargo on Chinese goods cannot be interrupted. But Beijing is not asleep: he turned to the World Trade Organization with a complaint about the actions of the United States. Also from China it was said that with their sanctions, the Americans are punishing not only the PRC, but also the joint US-Chinese enterprises located in this Asian country. It is possible that this was a subtle allusion to the possible nationalization of enterprises owned by US corporations.
It is believed that the key issue is the systematic violation by Chinese manufacturers of intellectual property rights of American corporations. For many years, intellectual piracy got away with China, the Chinese simply copied what they considered necessary, and all claims of copyright holders to no avail rested on local Chinese justice. Due to the role of the People’s Republic of China as a “world workshop”, Western countries, as well as Japan and South Korea, which transferred their production to the Middle Kingdom, were forced to turn a blind eye to Chinese copyright pranks. "Imitation is the highest form of flattery," said Chinese manufacturers, and foreigners gritted their teeth in silence, knowing that they could lose access to the Chinese market if they too actively assert their rights.
But "fattened" by export earnings, China has swung at the sacred - the role of the technological leader in the world. The Chinese leadership has formed an ambitious program “Made in China 2025”, which is to transform the country from a “world assembly workshop” into a global power with a high-tech industry. Old development drivers economics China should replace innovation and high Technology. The People's Republic of China invests enormously in its own R&D and attracts highly paid foreign specialists. Thousands of invention patents are issued annually in China. The production of industrial robots is growing. The aviation industry and the production of electric vehicles are actively developing. Work is underway on the creation of 6G Internet networks. Chinese experts are developing unmanned transport control systems, as well as artificial intelligence. The solvent demand of a colossal population is gradually growing.
The United States of America cannot stand it anymore. Washington decided to besiege China with economic measures, starting a trade war when it could still win. The PRC today is critically dependent on exports to the US and European markets. Closing them can collapse the economy of China. Knowing this, the Chinese leadership is actively working on the formation of its own domestic market, but it is still far from the desired result.
Therefore, one should not be surprised at the bitterness with which the United States and China began to exchange blows. The parties impose painful economic sanctions on each other almost daily. Washington is not afraid of a trade war, knowing that its trump card with the possible introduction of a complete embargo on Chinese goods cannot be interrupted. But Beijing is not asleep: he turned to the World Trade Organization with a complaint about the actions of the United States. Also from China it was said that with their sanctions, the Americans are punishing not only the PRC, but also the joint US-Chinese enterprises located in this Asian country. It is possible that this was a subtle allusion to the possible nationalization of enterprises owned by US corporations.
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