Cadence of Conflict: Asia, August 13, 2018

China’s situation isn’t getting easier. Taiwan now has tested a new missile, boasting ability to fire within China’s mainland, being capable of destroying military targets on both land and sea. This is no laughing matter. On the economic front, Beijing has a hard-headed counterpart in the White House, Donald Trump. He shows no indication of backing down on any front, including Beijing. Now, China is going after Muslims.

While it can be politically incorrect for the West to pursue terrorists if they are Muslim, China doesn’t have that problem. Military states rarely do, which is one advantage China has over the West. Terror cells may be in hot water since China is on high alert in all directions. If Taiwan were to create trouble on its eastern coast, Beijing would not want more trouble from its western borders. So, any earlier preemptive action from Beijing is likely to be westward, toward Muslim nations. Those Muslim areas could be in greater danger than Taiwan.

Taiwanese have been busy, though. When anyone uses the “Taiwan, China” format, Taiwanese go berserk. That’s raising a lot of attention about a little island in the Pacific which now has missiles capable of attacking China. These are interesting times.

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Cadence of Conflict: Asia, August 6, 2018

Apple sales are up in China, which creates a problem on two fronts. First, the doomsayers were wrong about tariffs crashing economies. If the tariffs aren’t making a difference according to the globalist economists, then why did they object? They’re the “experts”, after all. Shouldn’t they have foreseen that tariffs wouldn’t matter? The second problematic front is that an American company’s success seems to be a problem for the Chinese.

Apple doesn’t filter and censor content from personal users, but Chinese state-media outlets seem to think it should. Even though Apple proved that China is good for business, someone had to find fault. Good news just won’t do these days.

So, now it’s Apple vs China rather than Apple in China. It seems Apple was also duped by the globalist economists into vesting one fifth of its sales in a relationship that wasn’t going to last. Watch. This looks like a preemptive step to take action against Apple, who would do well to start pulling out of China before its assets get appropriated for the benefit of the Chinese people.

The swelling trade war between the US and China isn’t going away. Dating back to the Opium Wars, the West will push and push as long as most of the money flows downhill into China. While China compares tariffs, Trump balances cash flow.

More importantly, China could be entering another “danger zone” of its own. Painting Trump as an enemy in China’s own newspapers could inspire dissidents within China that they have support from the US. The best response for China’s own stability would be to report that Trump’s tariffs were intended to help China’s economy more than the US. That would be more likely to promote unity among the Chinese people. But, the state didn’t think of that before press time and the newspapers can’t be recalled, even when owned by the state.

China is, indeed calm, just as it claims. There should be no question that China believes the flow of money into China is fair. Chinese don’t want to be unfair, after all. China should only have favorable trade because China deserves it. Beigjing isn’t out to hurt anyone, unless they are denied the extra favor that the world owes to China. So, don’t let the Western press convince you that China is more of a monster than it actually is. We can all be monsters at times.

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Cadence of Conflict: Asia, July 30, 2018

The “China miracle” was nothing more than smoke and mirrors as big companies of the West took advantage of Chinese people seeking a living and Western consumers seeking lower prices. Everyone lost. There was no “miracle”.

The fad for cutting costs and quick investment returns nickeled and dimed away quality, eventually pushing bean counters to fall in love with China’s underpaid labor force. When China opened for business in 1978, the shipments rolled in. Wealth wasn’t made, it was only rearranged. A large shipping freighter made a large wake, some sunbathers had to move their towels on the beach when the wave wrecked the sand castles, and the global economist footsie-frat claimed that the sea levels had permanently risen.

Perhaps the label was wishful thinking, perhaps it was a malicious deception, but it wasn’t Chinese propaganda; it was globalist propaganda. China’s “growing economy” was fueled by an exchange between a planned economy and the free markets of the world. Whatever wave came, it would lower, eventually balance out, and could never have endured any more than spilled crude oil mixes with wildlife on the beach.

The mainstream Western press kept reporting on the “Chinese miracle”, encouraging Beijing that China’s new economy was here to stay. Western globalist economists should have known better, maybe they did, maybe they didn’t, but China is paying the price of the inevitable. Eventually, either the Western economies would collapse—then the one-way flow of cash into China would stop as it did after the opium wars—or a Donald Trump would come along and stop the flow before it got that far. But, it wasn’t going to last. The biggest victim of the bean-counter coupon-clipper culture of the West is China. And, making victims reaps nothing more than ill will.

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Cadence of Conflict: Asia, July 23, 2018

Central planning has only so much room for slight of hand tricks to keep up its sleeve. When the going gets tough, everyone goes home. For China, that means devaluing its currency, a complaint Trump has long lobbed against the trade giant.

Maintaining good relations with Apple and almost achieving the manufacturing capability long held by Samsung is quite the accomplishment for the Chinese. Good job. Everyone owes them a hand. China’s BOE company hopes to be able to start manufacturing the flexible, “organic” LED displays by 2020.

Devaluing currency as a response to trade tariffs from the US, however, is likely to make those tariffs higher, considering that devaluation of its own currency was one reason Trump argued for tariffs before his election. This, and turning to Africa, means that the international bite is felt. Silicon Valley also has its eyes on Africa, meaning that Apple and China may meet again in Africa, as well as Google. But, doing more of the same things that initiated tariffs is likely to cause more tariffs than tariff problems it alleviates.

China has a hard set of choices ahead and as those choices narrow, the tiger will feel more and more like its been backed against a corner. This path doesn’t endure entirely peacefully.

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Cadence of Conflict: Asia, July 16, 2018

Global trade has become too congested and inbred. Enemies make vital weapons parts for each other—well, enemies of the US make vital weapons parts for the US, but don’t return the favor. Western companies outsourced to developing markets, then were surprised at workplace hazards, loss in consumer trust, and didn’t seem to anticipate that by sending jobs overseas they were downsizing their own customers.

The borderless fling wasn’t going to last for a myriad of reasons—cultural incohesion being an impossibility for a manufacturing industry in denial, security conflicts of interest being a concern for Western powers. Internationalization is about governments and cultures understanding each other, not forcing cooperation between peoples who haven’t yet learned to gel in the daily routines. Companies like Boeing got themselves too entangled in the scene of borderless manufacturing and are now whining and moaning because the inevitable finally happened. This indicates that their “globalist” action plan wasn’t based in foresight, but delusional hopes.

Globalism is inevitable, but it won’t take the path that the impatient hopefuls dreamed and thereby planned it would. Globalism needs cultural exchange to precede and exceed industrial integration, not vice versa. Boeing through the cart pulled its horse, banked on it, it backfired, and Boeing is now denying blame.

China and Europe, mainly Germany, are headed for the same blend of oil and water. This so-called “trade war” isn’t setting well in China’s market. Chinese people blame their government. That government doesn’t want any misreporting that could even remotely influence the people into thinking that the unrelated trade and stock market could have any kind of direct relationship. The trouble Trump is making for China isn’t demonstrated from rumors of censorship within China or its stock market, but in China’s attempt for yet another foreseeably incohesive relationship with Germany. China is being smart, Germany is not.

China is owed everything by the West, but Germany hasn’t figured this out yet. China doesn’t need to say so because no one tells the obvious. A relationship between China and Germany would rightly favor China, Beijing would have no objection, but Berlin will cry and whine just as much as Boeing, once it all lays flat on the table. And, China will have made the profit.

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