Is The USA Headed Into A Trade And Tech War With China? It Does Not Look Good!

Tensions are building between the two countries and have been for awhile now.

The USA has anxieties about what China will do about their holding of $1.2 trillion US debt.

Accusations of cyberspying is coming from both countries.

USA indicted five members of the Chinese Army charging them with cyberespionage against companies such as Westinghouse and US Steel.

This could threaten the American Technology industry by damaging relations with China.

Then China proceeds to:

1. accuses Cisco of America of cyberspying,

2. accuses Apple, Google, and Facebook of helping the USA to monitor China,

3. prohibited the installation of Microsoft Windows 8 on government computers,

4. launched investigation of IBM, 

5. removed high-end services from state bank networks,

6. and ordered state enterprises to sever relations with American consulting firms.

A Notre Dame political scientist said her students who are spending this summer in China have no access to Gmail or Google Search.

The end result of all of this conflict between the USA and China is that American businesses will be the target of China for a long time to come.

We maybe facing a trade war with China in conjunction with the assault of American companies by China.

This is not a pretty picture.

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China’s attack on American business is sometimes said to be in response to the Snowden revelations, that Beijing wants to remove the products of U.S. tech companies from its networks because they help America spy on China. Yet this appears to be just an excuse because Chinese authorities, who had thoroughly penetrated the U.S. intelligence community for years, have undoubtedly known the general outline of what the former NSA contractor revealed beginning last year. So if this is no more than an excuse, what is the cause of the anti-Americanism evident in Beijing recently?

There are two points. First, the recent assault on American business could be a continuation of a trend apparent during the later years of Hu Jintao’s rule. Then, Chinese leaders began to think that either they did not need foreign companies as they did in the early years of the reform era or the balance of power had swung so far in their direction that they could dictate terms to foreign companies wanting to do business in China. “China’s blistering attacks on U.S. tech firms is more than quid pro quo over cyberspying charges,” writes Patrick Thibodeau in Computerworld. “It’s a signal of China’s growing confidence in its own technology capabilities.”

Mountain Woman



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