Friday, January 15, 2010

The PRC's Threat to The United States

Our present relationship with the People’s Republic of China is fraught with danger and may pose a serious threat to our way of life. Forget that ideologically The United States and The PRC are incompatible or that despite their recent experimentations with free enterprise they still monolithically remain a Marxist government.

Their flirtation with western business practices serves their purposes. They can improve the condition of their people, which is a stabilizing force and further their communist agenda by besting us economically. It is safer than nuclear war. It also provides the gratifying feeling of turning a weapon formerly used against them back on to the perpetrators. Please make no mistake “trade partner” does not mean “ally,” at least not in the same way that Israel or Great Britain is our ally. Our relationship with China is an arranged marriage of convenience. It’s a marriage in name only – for show – and no one is sleeping in the same bed.

Sadly, the present state of Corporate America as well as our government seems okay with this. As I have pointed out previously our government makes big noises about not doing business with terrorist governments and organizations. We establish laws preventing American businesses from doing so and create stiff penalties if those laws are violated. Yet we think nothing of doing business with a government that routinely violates the most basic of human rights and has not shown any sign of giving Tibet back to the people of that country. Their occupation still remains illegal in every moral sense of the word (just as I believe our occupation of Iraq is of the same ilk).

Recently I was taken to task for calling the Chinese government “a devil with a human face” taking their remarks against the Dalai Lama and turning it back on them. I even took a little heat for my referring to them as the “yellow menace” and “yellow hoard.” However, the respondent who took me to task clearly didn’t read them into the context of the piece.

So why am I reviewing this? Once again we have further evidence that the Chinese government is dangerous to our way of life. A recent report published by The VeriSign Corporations iDefense security lab demonstrates that the Chinese government was behind the recent attack on Google.

Let’s add cyber terrorism or digital warfare, if you prefer, to the list of China’s crimes. They are no longer content to send inferior products that could potentially make you ill they are subtly attacking the infrastructure of our country through cyberspace. At least Google is responding accordingly to the recent attacks and is reportedly ending their collaboration with the government of the PRC.

It’s time for other companies to follow Google’s example. Wal-Mart you know who you are. We should not be doing business or putting our economic security in the hands of a country whose ideology is so disparate from ours. It makes no rational sense. It is also very dangerous. As I have often joked we ought to get it over with and just sign the deed over to Beijing.

The Obama administration has been considering sanctions against the Iranian government for sometime now. These sanctions will undoubtedly impact innocent Iranians who have no quarrel with the United States and who have no control over what their government does. Likewise sanctions against Saddam’s regime in Iraq, prior to our invasion, starved and harmed the citizens of Iraq while doing nothing to change Saddam’s policies or the balance of power. So where is Obama’s call for sanctions against the Chinese?

Unfortunately, the Obama administration has little backbone when it comes to correcting the trade imbalance that exists between the United States and China. In July of 2008 Atlantic Monthly writer, James Fallows, called it the 1.4 trillion dollar question. Fallows isn’t the only one concerned with the trade imbalance. The problem is there seems little agreement on just how dire it is.

Professor Peter Morici is cited by Bloomberg writer Kim Kyoungwha a year ago as saying:


Ending Chinese currency market manipulation and other mercantilist practices are “critical” to reducing the U.S. trade deficit and creating jobs in the U.S., Morici said. “Obama must address the huge cost of imported oil and the trade deficit with China,” he said. “Otherwise, any effort to resurrect the economy is doomed to create massive foreign borrowing, another round of excessive consumer borrowing, and a second banking crisis that the Treasury and Federal Reserve will not be able to reverse.” (Bloomberg - January 12, 2009)

Still others believe that those of us expressing concern are off base and alarmist. Regardless the reasons for not doing business with China remain the same. It serves no good purpose to allow a government as morally and ideologically opposed to the United States to be as deeply invested in our national debt as they are. Neither should we continue with a heavy an imbalanced trade deficit as we currently have with them. There are American jobs and American lives at stake. In the long China’s practices are not sustainable.

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