I think you are presuming the context of my use of the word “cross or crossing” is in relation to some passive aggressive behavior on Trumps part and perhaps I wasn’t clear enough in what I meant. This is more to do with retaliatory measures in regards to tariffs, which he did indeed threaten the EU with had they decided to retaliate after announcing tariffs on Steel and Aluminum products a few months ago. These tariffs were a tool to be used to bring the EU to the table in order to renegotiate the imbalances and restrictions on US products entering the EU trade block that existed as well as the trade deficit that has been getting out of control. NAFTA is also central to this issue as not only China but the EU and Germany are heavily invested in both Canada and Mexico which import their products into the US without paying any tariffs at all particularly in the auto sector. It is also a major reason why massive trade deficits exist with all countries mentioned and why it needed to be addressed.
All the rest of what you mention in how or who Trump is as a business person is not telling me anything new, as I very much know who he is and what his approaches are when it comes to his business acumen, having read the “Art of The Deal” and by accident having encountered him in person while showing me how to swing a golf club as a youngster, I made it a priority to learn about him ever since. He is a Machiavellian president who plays it close to the vest, and the US since Jackson hasn’t seen anyone like him before in terms of being his own man and not being able to be bought. Not even Reagan had the same charisma when it came to negotiating deals and keeping Wall Street Fraudsters at bay.
As far as China is concerned, there is much, much more at play when it comes to the existing row between the two countries, and one aspect that is certainly to change the discourse between the two countries is the brazen theft and spying currently taking place in cities like San Francisco, Chapel Hill, Boulder, and other places where High Tech industries are the target. China is acting like an adversary instead of a trading partner and are now being dealt with in the way it should be, by hitting hard at economic policies. Although in all fairness, the Russians, The French, the Israelis, are doing it too, but unlike other countries, China has more so interfered in our political and academic institutions more than any other country to date for the past 30 years. Remember it was not too long ago that the Chinese MPS operatives killed 25 CIA agents and for the most part the CIA never forgets. Which is why the squeeze being put on China, such as elevated Tariffs, Sanctions on Iran (China imports 70% of their Oil from Iran) and other measures are designed to get China to change their behavior or risk a much deeper and more serious crisis brewing at home and the CIA is running counter measures to their current economic aggression. Which is why many in Xi Jinping’s inner circle are beginning to question his current strategy and that he may have already overplayed his hand on many fronts that is leading many to criticize his “Made in China 2025” initiative. Having lived in China and Asia in general for over tens years and being fluent in Mandarin, I know Chinese culture very well, and to assume that they don’t understand is underestimating an adversary. They fully understand, but to them is mostly about saving face.
"Historic Chinese cultural policy, the totalitarian control over expressed political sentiment and diplomacy through silence, is evident in the strategic use of the space between carefully chosen words, not just the words themselves.
China has no cultural or political space between peace and war; they are a historic nation based on two points of polarity. They see peace and war as coexisting with each other. China accepts and believes opposite or contrary forces may actually be complementary, interconnected, and interdependent in the natural world, and they may give rise to each other as they interrelate to one another. Flowing between these polar states is a natural dynamic to be used -with serious contemplation- in advancing objectives as needed.
The Chinese objective is to win, to dominate, using economic power.
Peace or war. Win or lose. Yin and Yang. Culturally there is no middle position in dealings with China; they are not constitutionally capable of understanding or valuing the western philosophy of mutual benefit where concession of terms gains a larger outcome. If it does not benefit China, it is not done. The outlook is simply, a polarity of peace or war. In politics or economics the same perspective is true. It is a zero-sum outlook.
Therefore, when you see China publicly use strong language – it indicates a level of internal disposition within Beijing beyond the defined western angst. Big Panda becomes Red Dragon; there is no mid-status or evolutionary phase.
U.S. President Donald Trump and the U.S. economic team fully understand this dynamic and fully understand the inherent needs of China.
When you are economically dependent, the ‘bully plan’ only works until you encounter a ‘stronger opponent’.
A stronger opponent is an economic opponent with a more broad-based stable economy, that’s US.
President Trump, Commerce Secretary Ross, Treasury Secretary Mnuchin and U.S. Trade Representative Lighthizer, Economic Adviser Peter Navarro and NEC Chairman Larry Kudlow represent the first broad-based national team of economic negotiators who know how to leverage the inherent Chinese economic vulnerability.
Every American associated with investment, economics and China would be well advised to put their interconnected business affairs in order according to their exposure.
President Trump will not back down from his position; the U.S. holds all of the leverage and the geopolitical economics must be addressed. President Donald Trump and his team are entirely prepared for this.
Donald Trump has been discussing this for more than three decades. We are going into economic combat with China!
China’s objective is conquest. China’s tool for conquest is economics. President Trump’s entire geopolitical strategy, using economics in a similar way, is an existential threat to China’s endeavor. Communist Beijing calls the proverbial DPRK shots.
President Trump is putting on a MASSIVE economic squeeze.
Squeeze #1. President Trump and Treasury Secretary Mnuchin sanctioned Venezuela and cut off their access to expanded state owned oil revenue. Venezuela needs more money. China and Russia are already leveraged to the gills in Venezuela and hold 49% of Citgo as collateral for loans outstanding. China and Russia now need to loan more, directly.
Squeeze #2. China’s geopolitical ally, Russia, is already squeezed with losses in energy revenue because of President Trump’s approach toward oil, LNG and coal. Trump, through allies including Saudi Arabia, EU, France (North Africa energy), and domestic production has influenced global energy prices. Meanwhile Russia is bleeding out financially in Syria. Iran is the financial reserve, but they too are energy price dependent and President Trump is now putting pressure on Iran vis-a-vis new sanctions.
Squeeze #3. In 2017 Trump and Secretary Tillerson, now Secretary Pompeo, put Pakistan on notice they need to get involved in bringing their enabled tribal “extremists” (Taliban) to the table in Afghanistan. Pakistan’s primary investor and economic partner is China. If U.S. pulls or reduces financial support to pressure Pakistan toward a political solution in Afghanistan, China has to fill void. [NOTE: Last month the World Bank began discussions about a financial bailout for Pakistan.]
Squeeze #4. China’s primary economic threat (competition) is next door in India. President Trump has embraced India as leverage over China in trade and pledged ongoing favorable trade deals. The key play is MFN (Most Favored Nation) trade status might flip from China to India. That’s a big play. It would have massive ramifications.
Squeeze #5. President Trump launched a USTR Section 301 Trade Investigation into China’s theft of intellectual property. This encompasses every U.S. entity that does manufacturing business with China, particularly aeronautics and technology, and also reaches into the financial services sector.
In March of 2018 U.S. Trade Representative Robert Lighthizer completed a section 301 review of China’s trade practices. [SEE HERE] Section 301 of the U.S. Trade Act of 1974 authorizes the President to take all appropriate action, including retaliation, to obtain the removal of any act, policy, or practice of a foreign government that violates an international trade agreement or is unjustified, unreasonable, or discriminatory, and that burdens or restricts U.S. commerce. However, as talks with China progressed, President Trump shelved the 301 action to see where negotiations would end-up. The May and June, 2018, negotiations between the U.S. and China provided no progress. The 301 review of China is now pulled back off the shelf, and President Trump assembles his trade-war strategy. The 301 tariffs/sanctions are currently being worked out with U.S.T.R Robert Lighthizer.
Squeeze #6. President Trump, Secretary Ross, Secretary Mnuchin and USTR Robert Lighthizer are renegotiating NAFTA. One of the primary objectives of team U.S.A. is to close the 3rd party loopholes, including dumping and origination, that China uses to gain backdoor access to the U.S. market and avoid trade/tariff restrictions. [China sends parts to Mexico and Canada for assembly and then back-door entry into the U.S. via NAFTA.]
Squeeze #7. President Trump has been open, visible and vocal about his intention to shift to bilateral trade renegotiation with China and Southeast Asia immediately after Team U.S.A. conclude with NAFTA renegotiation. [Current discussions with Japan are ongoing]
Squeeze #8. President Trump has positioned ASEAN (Association of Southeast Asian Nations) as trade benefactors for assistance with North Korea. Last year the KORUS (South Korea and U.S.) trade deal was renegotiated. The relationship between ASEAN nations and the Trump administration is very strong, and getting stronger. Which leads to…
Squeeze #9. President Trump has formed an economic and national security alliance with Shinzo Abe of Japan. It is not accidental that North Korea’s Kim Jong-un fired his last missile over the Northern part of Japan. Quite simply, Beijing told him to. However, President Trump engaged directly with Kim Jong-un and has removed much of the ability of Beijing to leverage the DPRK nuclear threat for economic benefit.
Add all of this up and you can see the cumulative impact of President Trump’s geopolitical economic strategy toward China. The best part of all of it – is the likelihood China never saw it, meaning the sum totality of “all of it”, coming…. at first. Now they do, and they are not quite sure how to respond.
Each time China takes aggressive action (red dragon) China projects a panda face through silence and non-response to opinion of that action;…. and the action continues. The red dragon has a tendency to say one necessary thing publicly, while manipulating another necessary thing privately. The Art of War.
President Trump is the first U.S. President to understand how the red dragon hides behind the panda mask.
It is specifically because he understands that Panda is a mask that President Trump messages warmth toward the Chinese people, and pours vociferous praise upon Xi Jinping, while simultaneously confronting the geopolitical doctrine of the Xi regime.
In essence Trump is mirroring the behavior of China while confronting their economic duplicity." ~Sundance
Lastly, Canada will only get a deal done when they have no choice but to do so, (in other words it will be a take it or leave it deal after one is reached with Mexico Separately) as they have no leverage when it comes to NAFTA, or the US economy for that matter, Canada now finds itself in a position of weakness. As it is now, many Companies have been leaving Canada and relocating to the US, because NAFTA was a flawed policy to begin with and when Trump announced his running for President to eventually winning the oval office, it was one promise he made in changing, and the writing on the wall has been apparent that its days were numbered ever since. Trudeau and his trade representative Chrystal Freeland are way in over their heads when it comes to renegotiating the NAFTA treaty, such as insisting Gender equality issues, and Global warming issue by demanding a carbon tax as one example. Another is the fact China has much invested in Canada both politically and economically and are practically controlling Trudeau on a string. When I say Trudeau is an idiot I mean that kindly, and don’t mince words as he has been screwing over Canadian Citizens by putting globalists interests before theirs and negotiating from a ideological perspective rather than a business one, which he has no experience with the latter. It is a major reason why there hasn’t been any new negotiations with Canada in order to resolve issues central to the NAFTA trade Treaty. Its a foregone conclusion that NAFTA is dead and the reason there hasn’t been an official announcement yet, because it is all about timing and the mid-term elections. There is much more to come in the weeks and months ahead when it comes to trade, politics and the Geopolitical strategy on the Global stage yet to be played out.
Another issue you mention in terms of foreign businesses doing business in China is what is termed “Forced Acquisition” and it has many avoiding doing business in China now. You are correct in that it is not how western countries do Business and it is now becoming clearer that China has a major decision to make or force being isolated if they continue to ignore the major shift that is currently taking place in terms of global trade and not wanting to adhere to the same set of rules that everyone is to abide by when it comes to ethical business practices; something China has sought to control for quite sometime by pushing concepts such as “Globalism” and not “free or fair trade” which “Globalism” has become a dirty word as of late when watershed moments are revealed in the populist movements in recent elections across the globe to serve as its rebuke. There clearly is a distinction between the two words, and its China’s who is the biggest advocate of Globalism for a very specific reason.
Some interesting reading
Total US investment in the EU is three times higher than in all of Asia.
