[Thud]

I see American sanctions against China coming. The currency issue will be the justification, not the cause.

[TigerLikesRooster]

Re #9

Already many trade bills against China are on the table in Congress, proposed by Republicans.

[section9]

Actually, I see something far more different, and more proactive, on the part of this Administration.

It has given the Gomers and their Chia Pet leader plenty of warning. Rice has tried to actually cool things down to give the Chia Pet an excuse to send his negotiators back to Big Brother in Beijing. The Chinese have other ideas, however. Chia Pet serves their purpose as an irritant to American interests.

Should he go with a nuke test, all bets are off, and we can hurt him where he can't hurt us, at sea.

We can begin, and I suspect we have plans for, a campaign of restricted submarine warfare against North Korean maritime shipping. In addition, I strongly suspect that Gomer diesel electrics have been catalogued and placed into the firing computers of the submarines in the Pacific. Sh*t happens when subs start failing to return from routine coastal patrols and ships get boarded or sunk. Chia Pet screams but is quietly informed in no uncertain terms that he had best unf*^k himself lest we decided to use tactical weapons on any Gomer spearheads headed south.

Chia Pet eats his humiliation before all of Asia.

Be Seeing You,

Chris

[Southack]

"I see American sanctions against China coming. The currency issue will be the justification, not the cause."

President Bush and Treasury Secretary Snow broke China's Yuan to Dollar peg this year without sanctions...simply by going yet another year without the U.S. buying Dollars on the open market.

In past Administrations, the U.S. was spending our own foreign currency reserves to buy Dollars in order to prop up the value of the Dollar. This made imports cheap and made our exports pricey for our customers to buy.

The Bush Administration took one look at that folly and said "Let export nations spend their own money to prop up the Dollar."

And for 5 years of the Bush Administration, that's what those export nations did.

Last year, for instance, China spent $165 Billion to prop up the Dollar. For that investment, they earned back a $120 Billion trade surplus. Well, losing $45 Billion per year got old after a while.

China caved. The peg is dead.

...and sanctions weren't required (just simple economics).