Peter Navarro “nailed it” on Monday clearly outlining the damage to the U.S. economy as a result of China’s economic aggression.
Unfair trade practices, cyber espionage, and market manipulations undermine the American economy today, but more importantly, if allowed to continue, will cripple the U.S. economy to the point of no return in the future.
As Mr. Navarro explained, China is focused on manufacturing and creates biased and unfair trade paradigms to “partner” and subsequently steal engineering advancements from U.S. concerns both through outright, unlawful cyber espionage and through U.S/China corporate partnerships. The true effects not only include the loss of manufacturing jobs from U.S. shores and the economic multiplier effect those manufacturing jobs have on their local economies but the lost opportunity to innovate American manufacturing in every industry.
The U.S. robotics and artificial intelligence industries are crippled when manufacturing moves offshore. With U.S. social media and Silicon Valley in the “hot seat” recently, Americans should recognize that with 2+ billion Facebook users, none are located in China. The American “FAANG” tech stocks driving the NASDAQ are prohibited from providing their goods and services behind the Great Wall. “Baidu” operates as China’s “Google”, “Alipay” replaces “PayPal”, Tencent’s “We Chat” is used in place of “Facebook,” and “Youku” is the Chinese “YouTube” knockoff.
The Chinese government protects their high tech industry from foreign competition. Chinese investments in U.S. High Tech provide access and opportunity to hijack American innovation with ease. As Mr. Navarro states, “China perverts the investing process by targeting American companies based on strategic and military goals rather than purely economic considerations.”
Adding insult to injury, the U.S. is now educating over 1 million Chinese in America’s finest colleges and universities. Chinese students are often the majority in U.S. Science, Technology, Engineering, and Math programs, further advancing the disadvantage to America’s long-term success.
Every American citizen should be united in the desire to stop communist China on its quest for economic, technological, and military global supremacy. Unfair China trade practices need to be stopped. I, like many Americans, just hope it’s not too late.
Hilarie T. Gamm, author of Billions Lost: The American Tech Crisis and The Road Map to Change
New York, NY