Posted on 08/28/2020 10:36:16 AM PDT by Dr. Marten
China may restrict American access to medical supplies in retaliation for intensifying U.S. regulations on Huawei, according to a prominent economist and Chinese Communist Party adviser.
“For vitamins and antibiotics, more than 90% of their raw materials are produced in China,” Tsinghua University finance professor Li Daokui said in response to new regulations targeting the flagship telecommunications company. “The U.S. will definitely not be able to produce them in the short term.”
Li’s comments evoke the thinly veiled threats that state-run media issued earlier this year as international anger raged over China’s mishandling of the coronavirus pandemic in the initial days of the crisis. He spoke after Commerce Department officials unveiled new regulations designed to make it more difficult for Huawei to obtain electronic supplies derived from U.S. technology, in keeping with American warnings that the telecommunications giant is a platform for Chinese spy services.
(Excerpt) Read more at washingtonexaminer.com ...
It is hard to think of a move more to favor the United States than refusing to sell medical supplies to us...
what GI in VN didn’t have a 35mm camera from Japan
(Pentax/Olympus/Mamiya etc)?
The disaster dynasty.
“It will take time, because the logistics have been 30 years in the making”
Very True.
But I believe that the supply chain will be ripped out of China, significantly faster than it went in - the lead times started in earnest, during President Trump’s first week in office, and the physical movement started in earnest as tariffs rolled out.
1. We are working on Trump time, with expert managers like Wilbur Ross guiding the strategy. The are using all the strongest levers, and are themselves members of the CEO elite, who rub shoulders and socialize with the decision makers.
2. Global consensus was already huge, but coronavirus has driven the International concern about ChiCom dominance into over drive.
3. The new trade deals are significantly designed to structurally incentivize pulling out of China.
4. There is no longer any doubt that President Trump can and will use tariffs to force the move out from China. Once he is re-elected, the calculus for the electronics industry will change big time. They will know that the second half of the tariffs (on electronics) are inevitable, and they will have to take those big hits to their sunk capital in Chinese production capacity. CEOs were naturally hesitant to take big write offs, but the math of tariffs will force those decisions. Their ample grace period to accommodate the long lead times needed to establish production elsewhere will be up, and President Trump will want the job done before the end of his second term - which likely means rolling out the new tariffs in the first year, with maybe a few quarters of waivers.
5. Push is likely going to come to shove, as things start cracking in the Chinese economy. Some crisis is likely going to speed up decoupling even more. Maybe it will be a debt, banking, real estate, stock market or currency crisis in China. Maybe it will be financial sanctions over Hong Kong, COVID-19, or aggression in the South China Sea, Taiwan, India, against the Uighurs, or some other. Maybe they will will serve up the policy that is the means of their own downfall, by trying something like cutting off pharmaceutical supply, out of hubris.
As things get more painful, they are unlikely to degrade gracefully and gradually. Stuff happens.
I anticipate, that Trump Administration strategists have anticipated, such breaking points from a gradual decoupling process. I will not be surprised if they plan for some sharper breaks.
Yes, that is true.
So when are we (the US) going to get smart and source the raw materials from within our own country?
I remember there was talk about this a few months ago, but nothing has happened?
Sell their US assets? Screw that! Time to take a page out of the communist play book...........time to nationalize all chicom assets in the US. And if the UN and world courts bitch about it we should just collect all our marbles from around the world and go home.Oh yeah and say adios to the UN! Let the world burn without us, WE'RE AMERICA BITCHES AND YOU NEED US A LOT MORE THAN WE YOU.
If China starts a war, we could certainly do that.
Why are such fundamental items being only made in China? Do we trust the melamine dog food country with our own bodies.
Ask your vitamin maker.
Game on! You Commie Asshole!
Dear President Trump,
Two priorities for your second term:
1) Crush the commie assholes in the US
2) Crush the commie assholes in China
Respectfully,
Proud American
Xi really is a moron.
All his predecessors were snakes, but they were also clever enough to know you don’t poke the tiger you play nice.
Xi is dumb enough to buy into his own propaganda that China is somehow now a formidable power in the world capable of challenging the US.
This is going to end exactly as it did 120 years ago, with China humiliated by the West.
What was that Tora Tora Tora statement?
I believe we have awakened a sleeping giant?
Sell?
HAHAHAHA!
US ‘assets’ in other foreign countries were merely STOLEN when they got ‘nationalized’!
Nikon
Trump is trying to reverse that....
in the meantime, personally, I would stock up on your vitamins....
speaking of their economy, what happened to the three gorges dam?...
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