Skip to comments.China tech giant crippled, US imports held amid trade spat
Posted on 05/10/2018 5:22:52 AM PDT by Olog-hai
A Chinese tech giant brought to its knees and delays for imported U.S. cars, apples, lumber and other agricultural products are early signs the widening trade dispute between China and the U.S. is exacting a toll on both sides.
More talks aimed at resolving the conflict are planned for next week in Washington, while both sides dig in for a fight over their trade imbalance.
The tech company, telecommunications equipment and smartphone maker ZTE, said Wednesday that its ceasing major operations after the U.S. last month banned it from doing business with American suppliers for seven years as a punishment for illegal exports.
Also this week, businesses and officials reported that American products are running into delays in customs clearance because of stepped-up inspections at Chinese ports, suggesting Beijing may be making life tougher for U.S. companies as the dispute drags on.
ZTEs crippling business ban stems from a case dating to before the Trump administration, but analysts say the outcome was worse than expected, reflecting a deterioration in trade relations as the two countries vie for technological dominance.
(Excerpt) Read more at apnews.com ...
This is a game that had to be played a long time back. Does anyone notice how this coincides with North Korea and Iran? Seems Trump is using these activities as leverage against China and the EU.
Well played sir.
Oh no! Seems China is responding and clamping down on N. Korea.
So on balance; no nukes on Korean Penisula vs delay in cusotms.
That is a tough one AP
It's because the totalitarian communist Chinese leadership learned from the economic collapse of the USSR, and use capitalism as a tool to strengthen China economically and to build its military. They don't plan ‘quarter to quarter’, or investor meeting to investor meeting. They have a long range plan for world dominance, and we have been helping them.
They’re as “capitalist” as Lenin. Look at Lenin’s New Economic Policy. Never mind Engels’ book, “The Principles of Communism”, warning that “[i]t is impossible, of course, to carry out all of these measures at once” (meaning the ten planks of communism) and the Manifesto itself saying that “the proletariat will wrest by degree (not all at once) all capital from the bourgeoisie, to centralize all instruments of production in the hands of the State, i.e. of the proletariat organized as the ruling class; and to increase the total productive forces as rapidly as possible”, which is what they have been doing since the days of Teng Hsiao-p’ing.
3 + 7 is not 12
I’m sure you’re correct, but I do believe that after the collapse of the USSR it became more apparent to some communist nations that they couldn’t remain viable, and expand, if they didn’t strengthen themselves economically. There has been a dramatic shift since they destroyed their economy with the cultural revolution.
OK, I think I got it.
Well, basically what happened is that the CPC went back and read Marx and Engels and saw the commonalities with the Fabian model. Another part of that is where the Manifesto noted that “[t]hese measures, of course, will be different in different countries”, referring to the means to move society towards centralization; but of course, one always makes the revolution in order to establish the dictatorship, to paraphrase Orwell.
“Theyre as capitalist as Lenin. Look at Lenins New Economic Policy.”
For several years now I have used the term Chicaps to describe the emerging chinese capitalist presence.
Even during the worst Chinese Communist years, business of a capitalist nature was thriving among the colonies of overseas chinese business and families. These Chinese are now allowed to trade with the mainland.
The largest ever public offering on the New York Stock Exchange was for shares of a chinese company, Alibaba.
The Pearl River delta cities are the 13th largest world economy although the territory is limited.
But most importantly, There are the Chinese youth. They embrace world values and they like stuff. Communism is eschewed for a government currently under development
I neither promote nor disdain China. I observe and make a finding
China and a “universal empire” under its control is not at odds with the Manifesto either, any more than their ideologically-sanctioned capitalism (of the state) is, the Manifesto in question declaring “the workers have nothing to lose but their chains; they have a world to win.”
“China and a universal empire under its control is not at odds with the Manifesto either, any more than their ideologically-sanctioned capitalism (of the state) is, the Manifesto in question declaring the workers have nothing to lose but their chains; they have a world to win.”
For China, discarding Marxism was easy - they’ve always held themselves above the barbarians residing outside the realm of civilization (i.e. China). What would a stinking European barbarian have anything to teach them about politics or economics? That is why the state planning boards that assigned jobs, homes, rations, spouses, etc have been completely dismantled, and toll roads, stock markets, private homes, golf course memberships and private cars have taken their place. The threat from China isn’t its export of Marxism, which it ended in the 1970’s - it’s traditional Chinese imperialism spanning thousands of years. http://www.timemaps.com/history/china-1500bc/
If ZTE is that bad off (talk about not having anything put away for a rainy day), then others are probably close.
“If ZTE is that bad off (talk about not having anything put away for a rainy day), then others are probably close.”
I’ll add something more to that:
Backlog on components
Going more than a year out. Companies are ‘double ordering’ and the parts suppliers are trying to suss it out and penalize for it.
It is amazing how tight the supply is for electronic components that go into PC board manufacturing.
“It is amazing how tight the supply is for electronic components that go into PC board manufacturing.”
Capacitors especially are tough to come by. They are using tantalums in applications they’d rather use MLCCs or films.
A year or more backlog on caps? Crazy.
“Capacitors especially are tough to come by. They are using tantalums in applications theyd rather use MLCCs or films.
A year or more backlog on caps? Crazy.”