America and Europe's Future Fight Against China's Covid-19 Economic War
29 April, 2020
In many of today’s democracies, our leaders have, over the last three decades, dismantled, for short term prosperity, most of the economic, legal, and judicial protectionist safeguards and unarmed our nations’ people and businesses alike against economic invasion by China’s totalitarian regime. Its Communist Party has largely been granted free reign in most economic and legal spheres using opaquely veiled state-run and/or subsidized private enterprises to invest and trade freely in Europe and the USA to steal and engage in spoliation of intellectual and industrial property rights under the auspices of the World Trade Organization and Free Trade Agreements without any genuine reciprocity or safeguards to protect the foreign US and European investors and their assets in China (investments bridled by strict and discriminatory foreign ownership and governance rules and bank restrictions, inefficient and often corrupt justice system, widespread infringement of patents, trademarks, industrial designs, copyright, know-how and the like).
In America, Europe, and homeland China, the examples of the Communist authorities’ spoliation efforts and successes have been numerous, appalling, and left unfettered in all business sectors over the last two decades. For greater profits, cheaper labor, higher consumer spending and global liberalization, it appears many of our democracies have, until recently, undermined the initiatives of local businesses and the preservation of strategic industries and technologies back at home and abandoned the protection of the creative intellectual energy of our free people in consideration for the pseudo enforcement of international treaties in China. Any efficient and real defending of intellectual and industrial property rights has been forfeited for short term geopolitical and economic gains.
The world COVID 19 epidemic is the eloquent illustration of the setbacks of these national policies that lacked sufficient strategic long-term economic planning. Western leaders disregarded or at best underestimated the danger of China’s economic warfare. Its Communist regime has instrumentalized its economic arm as an intricate part of its military and geopolitical arsenal for global domination.
Should this turn of events trigger the revamping of our global economic system? The world’s largely and strongly rooted liberalized and capitalist economic system will not disappear and still remains the best of alternative economic models, whether with more or less socialism, to gain and distribute wealth across the greatest number of people. As many keen business leaders have always preached, diversification is highlighted as one of the golden rules in limiting risk and reducing dependence in the management of a business. Whether it be on the supply outsourcing side or from the client portfolio perspective, multi-national diversification creates independence and independence spurs opportunity and freedom of choice in the decision-making processes across the business world. A mapping of today’s cell phone manufacturing facilities shows that China monopolizes the vast majority of the world’s production of this high-tech product that has become one of the planet’s primary consumer goods deemed almost as essential as our food sources. Today, the world market is also dependent on China for computers, laptops, masks, medicine, medical equipment, and the majority of consumer goods.
Tomorrow can, should, and must be different if we intend to protect our future generations from poverty and the demise of individual rights and liberties caused by the ever-growing global economic dominance by China’s totalitarian regime. The hope of a more prosperous and freer future for our kin sparked the fight of our founding fathers of the American Revolution against oppression. The burning blaze of independence also struck at the heart of Europe at the end of the 18th century when the French people rose up against the authoritarian rule of its monarchy.
Modern history has never known or experienced a similar event like China’s COVID 19 induced economic oppression masked not only by China’s propaganda machine but also by certain Western leaders and media who obstruct the dissemination of the painful economic truth and social havoc to come due to their lack of foresight. The Trump administration has, however, taken a diametrical stance to America’s long-standing policy with China. From a historical perspective, President Trump’s trade war with China may one day be seen in hindsight as the precursor of the global economic revolt against China, thereby, playing out the American colonialists’ historic fight against the British monarchy in modern times against China.
Unlike the crushing of unarmed student protesters in Tiananmen Square in June 1989, the Chinese authorities have miscalculated the repercussions that the will, energy, and determination of the American people would be trampled by China’s subversive COVID economic war. Genuine economic freedom, the hope of a better future, coupled with our individual rights and liberties, are the fabric of our democratic societies that the resilient American people will never abandon.
Greater diversification and better strategic long-term economic planning will be necessary to liberate the American and European businesses and people from China’s economic stranglehold and to offer our democracies greater independence.