Weaponization Of Trade

The US is the most powerful country in the world when it comes to weapons and military might.

Force is used more often than any other technique to move the country’s agenda forward…..but there is a sector that the US uses sparingly….Trade.

China on the other hand has learned to use trade as a weapon…..

China denies mixing business with politics, yet it has long used trade to punish countries that refuse to toe its line. China’s recent heavy-handed economic sanctioning of South Korea, in response to that country’s decision to deploy the Terminal High Altitude Area Defense (THAAD) anti-missile system, was just the latest example of the Chinese authorities’ use of trade as a political weapon.

China’s government has encouraged and then exploited states’ economic reliance on it to compel their support for its foreign-policy objectives. Its economic punishments range from restricting imports or informally boycotting goods from a targeted country to halting strategic exports (such as rare-earth minerals) and encouraging domestic protests against specific foreign businesses. Other tools include suspending tourist travel and blocking fishing access. All are used carefully to avoid disruption that could harm China’s own business interests.

Source: China’s Weaponization of Trade by Brahma Chellaney – Project Syndicate

Maybe the US should take a page from the Chinese playbook…..learn to use our trade as a weapon.

This could go a long way of making the promise of more jobs come true….plus could minimize the use of military force….an aspect that is becoming almost too expensive to continue.

14 thoughts on “Weaponization Of Trade

  1. I am trying to recall an example of the US using trade as a weapon. Maybe NIke? But that’s not the government of course. Apple in the Far East? Again, a company, not a nation.
    The US could learn something from its huge corporations.
    Regards, Pete.

  2. I think it’s a good idea, but our workers tend to ask for higher and higher wages, thereby forcing the price of goods up and pricing ourselves out of the competitive world market. [eg. union automobile wages and benefits]

    1. We cannot blame it all on unions for they are as low as they can be as far as members go….they have very little “power” these days…..using trade as a weapon would fly into the face of the myth of the “free markets”….chuq

      1. You’re right about the unions, but our standard of living takes up where the power of the union fails. No matter what the US makes – the other countries can produce at a lower cost.

      2. That is true and nothing the Congress does will change that….the new tax package is a joke that does little to improve our chances…..chuq

      3. I wish I could answer that one for you…..trade is one of those topics that takes constant updating…..sorry I could not help…..chuq

  3. The oriental countries, such as Japan and China, reflect their overall philosophy of living in their business approach, taking a much longer view of the necessary goal setting agendas. A typical Japanese or Chinese business has corporate goals whose timelines cover 500 to 1000 years; the typical US company’s goals almost never look even 100 years ahead. This has always given them an advantage, one which, in the mid-twentieth century, enabled Japanese interests to buy up & control a very large percentage of American businesses, and property, especially visibly in the auto industry…. US companies were virtually forced into collaborating with Japanese companies, who owned a controlling interest in their stocks….

    The only answer, and one which would, in truth, be the best resolution for businesses, is for the world to turn to anarchy (reminder, this is a world of government without leaders, not without government…. people merely would choose what sort of regulatory protocols were needed in their own sphere, without fussing about their neighbors’ possibly different needs & desires).

    But. that’s merely the rational solution; humanity doesn’t often pick the most rational option, sadly. Hence, modern society, well down the road to self-extinction….

    gigoid, the dubious…

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