China-US Economic Ties: Concerns, Demands, and Rising Tensions

2023-09-06 16:00:00
2023-09-07 00:00 Economic Daily Economic Daily Editorial A schematic diagram of the United States and China.Archyde.com

U.S. Commerce Secretary Raymond Raimondo, who visited China in late August and was the fourth senior Biden administration official to visit China in three months, told Chinese officials that the U.S. was not seeking to sever economic ties with China, but she expressed a series of concerns, which led her to consider China “unsuitable for investment”.

The U.S. government lifted sanctions on 27 Chinese entities ahead of Raimondo’s visit, a move widely seen as a gesture of goodwill from Washington to Beijing. Of course, Raimondo had something to ask for on this trip. She was interviewed on the high-speed train from Beijing to Shanghai. She said that long-standing problems such as intellectual property theft by enterprises, as well as raids on enterprises, new anti-espionage laws and many unexplained high fines should be paid attention to and improved by the Beijing authorities; It is also hoped that the troubles encountered by American companies such as Boeing and Boeing will be treated and dealt with reasonably by the Chinese side.

On the other hand, Raimondo said, China has in turn demanded that the U.S. reduce export controls on advanced technologies and withdraw unreasonable tariffs on Chinese goods, as well as a recent executive order banning new investments in certain advanced technologies. But Raimondo said she rejected the requests because the U.S. does not negotiate on national security issues.

What is noteworthy and interesting is that just before his visit to China, Raimondo stated more than once that the United States will unite with all its allies to resist China’s investment in chip manufacturing at all costs, because China’s development of high-tech industries will be used in In terms of defense technology, it will pose a “security threat” to the United States.

I don’t know whether it’s a coincidence or intentional, but during Raimondo’s visit to China, on August 29, China’s Huawei’s new mobile phone Mate 60 Pro suddenly announced its launch, leading Apple to become the world’s first so-called “Piercing Sky” mobile phone with satellite calling function. And introduced a number of AI functions, “sold out in a second” following it went on sale. To the surprise and concern of all countries, following dismantling, it was found that Huawei’s new machine is equipped with a Kirin 9000S processor. This type of chip can support 5G networks. The number on the CPU is 2035-CN, where CN stands for Made in China, and it is speculated that it uses 7 nanometers. The manufacturing process, but whether it is SMIC’s foundry or Huawei’s own manufacturing has yet to be further confirmed. There is no suspense that following being sanctioned by the U.S. government for more than four years to kill Huawei, Huawei has broken through the comprehensive blockade of the United States.

This incident is reminiscent of a very similar scene that happened in 2011. On January 11 of that year, the then U.S. Secretary of Defense Gates visited China. When he met with Chinese President Hu Jintao, news came that he had successfully tested China’s first stealth fifth-generation fighter J-20 in Chengdu. , This action was considered by Gates (recounted in his later published memoirs) as the greatest humiliation he suffered in his life, because before that, Gates publicly belittled China, saying that China would not be able to build a stealth fighter within ten years.

Since Meng Wanzhou, Huawei’s chief financial officer, was arrested at a Canadian airport at the end of 2018, the United States has tried everything possible to beat Huawei to death, forcing Huawei, which is almost catching up with Apple, to withdraw from 5G mobile phones. Now that Huawei is “returning the king” in the astonishment of all parties, and at this moment without warning, it launched Huawei’s 5G mobile phone that was blocked by the US government with all its strength. I don’t know how to threaten and warn China not to invest in the development of chip manufacturing. Raimondo just now , How do you feel in your heart.

As the world’s top two, China and the United States have been competing for a long time. After long-term observation, there are really huge differences in the mentality, behavior and style of the two sides. Generally speaking, the U.S. is full of arrogance, but often lacks confidence. Its words and deeds always reveal intimidation; Looking at it more broadly, the US often says one thing and does another; if it fails (such as decoupling), it says another (such as national security). As for the Chinese side, following losing many times once morest the US side, it will not easily admit defeat, and will seek to turn defeat into victory with firmer determination, greater resilience, and a more forbearing attitude.

To understand why the styles of confrontation between China and the United States are so different, first, it may be related to national characteristics. The United States advocates domineering and likes to show off its strength; Second, it may be related to the system, one is American-style democracy, and the other is Chinese-style centralization. Or it may also be related to the personality of the leader. Xi Jinping, Trump and Biden obviously have obvious differences in personality. Observing the game confrontation between China and the United States, in addition to all the indicators of comprehensive national strength, the style of confrontation seems not to be ignored.

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