The US tariffs cripple China communist in economic war
Posted on May 16, 2019 Hoa Truong Posted in Published Articles
The war fights against the global economic terror affect the global market, the economic clash sharply harmed China economy and also the countries deeply involved the economy with China from many decades ago. The damages are inevitable, mostly, the economic and financial system of China facing the downturn from the mainland and global market plus China’s currency plunged and following the currencies of the countries linked with Yuan losing the valuation.
The world seems nervous after the tariffs imposed between the US and China communist in the economic war. Therefore, the US advanced the battle, President Donald Trump increased 25% tariffs on China’s products and goods are worth $USD 200 billion and the tariffs will reach to $USD 500 billion while China just retaliated $USD 60 billion. Obviously, after China’s delegation led by Vice Premier Liu He didn’t reach the deal and cheat with the US and they left Washington, the spokesman of China raised the mouthful speech, China Foreign Ministry spokesman Geng Shuang promptly reacted and told to media:” We have said many times that adding tariffs won’t resolve any problem. China will never surrender to external pressure. We have the confidence and the ability to protect our lawful and legitimate rights”. Therefore, the next day, Chinese Foreign Ministry spokesman changes the aggressive attitude:” My understanding is that China and the United States have agreed to continue pursuing relevant discussions”. Certainly, the tactic is talking during fighting failed to deceive the US’s potential commander in chief. President Donald Trump twittered on May 14, 2019:” China buys MUCH less from us than we buy from them, by almost 500 Billion Dollars, so we are in a fantastic position. Make your product at home in the USA and there is no Tariff. You can also buy from a non-Tariffed country instead of China. Many companies are leaving China…..”.
The economic war has exchanged by the tariff weapon from both sides that shuddered the world market, actually, the countries deeply involved with China communist by the trade ties, free trade agreement, and the currency swap. The debt trap being shaken when the counterparts affected and the lender is going to bankrupt, certainly, the debtors couldn’t repay. China faces the dilemma, the rapacious ambition carried out the one belt and one road plus the illegal artificial islands built and militarized into the Indochina Pacific aggravate China into the peril, Beijing sowed the wind and reap the whirlwind. The global economic terror hit back China’s economy, the sword made by China stabbing Chinese.
The left media couldn’t do the psychological warfare properly as they did in the Vietnam War, even China silently hired the professional journalists, reporters, columnists, T.V hosts, and the left media companies. The propaganda failed to conceal the truth while everyone knew China faces the difficulties and suffering the potential damages.
The old lesson of propaganda couldn’t apply in the war fights against the global economic war. In the passage of time, the left media succeeded the concealments in the Vietnam War as the Tet Offensive 1968, the left media just published and broadcast the news about Vietcong attacked and killed some US soldiers at Embassy in Saigon, but they concealed the potential damages of Vietcong with more than a hundred thousand troops killed.
The left media has tried to mislead the public, they just released the damages of the US but concealed the damages of China. Therefore, the truth exposed after a few days, on May 15, 2019, the Dow Jones rose 207.06 points or 0,82% to 25,532. The S&P gained 22.54 points or 0.8% to 2,834.41 and the Nasdaq Composite increased 87.47 points or 1.14% to 7,734.49. Moreover, the other major stocks recovered and greened back. Therefore, China’s market declined, but the left media hid. Therefore, high technological communication debunked the concealments of the left media. On May 13, 2019, after President Donald Trump increased 25% tariffs, Shanghai Composite Index downed 5.6% instead, Dow Jones just lost 0.3%. Forbes published an article written by Kenneth Rapoza:” China is losing the trade war in nearly every way”. Actually, China’s economy continues to plunge and Beijing often received the bad news from the offshore market and domestic productivity. On May 15, 2019, at Washington D.C, President Donald Trump declares the national emergency when the national security has been threatened by foreign and orders to ban Huawei and China telecommunication’s equipment. Therefore, in Australia, ALP (Australian Leninist Party) led by opposition leader Bill Shorten who wants to lead Australia to China’s comradeship. Nevertheless, Senator Penny Wong, shadow Foreign Affairs Minister vowed to permit Huawei operates the technology 5G if Labor wins the election is going to poll on May 18, 201, while annually, the Coalition government spent a hundred million dollars to fight the cyberspy, mostly the threat comes from China and the unit 61389 commanded by the People’s Liberation Army.
China has fallen into the panic station when the economy being unstable, it conducts the political risk, the Red dynasty always fears the people stand up, the old lesson is possible to repeat from a thousand years of Chinese history.
The economic war causes China currency loses the valuation and the inflation threatens in the mainland. China communist’s government couldn’t control the inflation that is out of China’s management, but the inflation in China comes from Washington. The US holds the knife’s handle while China holds the blade. The currency’s weapon of the US forced China engages into the adversity, certainly, Chinese tycoons must protect the loss, they hunt the US dollars and abandon Yuan. Eventually, China can sell Bond to solve the financial tragedy and pays the interest, therefore, the Bond is limited and the US investors can buy back when the US economy recovered and developing.
When Yuan loses the valuation, the people live in the mainland, actually, the poor Chinese suffering the difficulty and the middle class loses the investment. Moreover, they couldn’t compete with the tycoons. Ultimately, the middle class joins the poverty line, the Red dynasty faces more opponents when the economy worsened.
China loses foreign currency when the offshore market declined, but China does need the US dollar to buy the oil, materials. The economic war cripples China and also threatens the Red dynasty in Beijing./.