I just saw another report on CNBC regarding a potential ban on TikTok as a national security risk gaining traction in congress. The report also mentioned that direct foreign investment in China is at an 18-year low, and gave several notable examples of companies like Apple picking up their marbles and finding another game.
China is simply an unreliable business and political partner and has become not just a rival but an actual national security threat under its totalitarian leader, Chairman Xi Jinping. We shouldn’t be doing $700+ billion in bilateral trade with a country like this. We don’t need China. Most of their technology they purchased, learned, or stole from Western nations and their corporate, government, and educational institutions, like the good folks at the NIH who funded corona virus-advancing research at the Wuhan lab. Chinese state-owned media mince no words criticizing the West, especially the U.S., with their harsh, stinging rhetoric. So why are we doing business with this totalitarian cultural wasteland, where free inquiry experiences a quick, summary execution unless it’s the state doing the talking? Chairman Xi would probably be happier if he married his fellow dictator pal, Putin.
So it took you just 11 posts to veer into xenophobia. Nice.
Back in the real world, yes, China's government is increasingly autocratic and has a bad record on human rights. But we should keep in mind that throughout its history, the US did many of the same things China does now. The US enslaved millions of humans, brutally discriminated against them for decades after slavery ended, and engaged in a genocidal campaign against indigenous peoples. In its early days, the US was the source of cheap labor and exported tons of goods to Europe, including "stealing" their tech. Much like how China has control of Tibet, the US has controlled other nations in the past (Hawaii, Philippines, Cuba, Panama) and present (Puerto Rico).
Meanwhile, the right wing and conservative elected officials in the US are increasingly attacking corporations, telling them what to do, controlling bank investments, disrupting business deals with foreign partners. DeSantis even took control of a special district in Florida in a blatant attempt to influence Disney's decisions. What's the difference between China pressuring Tesla, and Congress threatening to
completely ban TikTok?
And of course, America's government doesn't "mince words" when criticizing other nations.
As to why the US should do business with China? For one thing, it's still an industrial and manufacturing powerhouse, and yes the US
does need a lot of what they produce. In addition, trade is beneficial for all parties -- that's why we trade. It's pulled nearly 1 billion people in Asia out of abject poverty, and resulted in cheap high-quality goods that Americans keep on buying. Further, while I don't think we can say that "trade and capitalism encourage democracy," it seems pretty clear that external economic pressures don't encourage democracy either, and can be counter-productive.
Meanwhile, it sure looks like foreign investment in China is still on the rise. What's changed is that foreign investment
as a percent of China's GDP has fallen steadily since 1993. That's not an indicator of capital flight from China.
Foreign direct investment into China grew by 14.5 percent from a year earlier to CNY 127.69 billion in January 2023. In dollar terms, FDI increased 10 percent to USD 19.02 billion last month. Foreign Direct Investment in China averaged 494.29 USD HML from 1997 until 2023, reaching an all time...
tradingeconomics.com
Foreign direct investment, net inflows (% of GDP) - China from The World Bank: Data
data.worldbank.org
This is not to say that the two nations are morally equivalent, or that it's perfectly OK for China's government to bully foreign business. Rather, it's that before you blast out yet more tired anti-Asian sentiments, you should keep in mind that not everyone sees the US in the same charitable light as you.