Wash. Post, July 15, 2007: "In Role Reversal, China Blocks Some U.S. Meat"
If China wants to play hard ball with us shouldn’t our government say "bring it on"? What would happen if we banned all Chinese imports?
Isn’t the Chinese economy way more dependent on trade with the U.S. than the other way around? U.S. clothing and many other products sold in the U.S. have a made in China label. The U.S. has a massive trade deficit with China. This means that dollars are being transferred in large quantities from the U.S. to China. That gives China the ability to purchase large quantities of U.S. Treasury bonds that the U.S. government has to sell in order to operate. If this trade deficit continues indefinitely, US taxes will have to soar in order for the US to pay just the interest on its borrowing. Furthermore, if Treasury becomes overly dependent on sales of debt to China (perhaps it already is) than China could use that as a strategic weapon against us that could be more potent than any WMD. Wouldn’t the U.S. benefit from a trade war with China, banning all Chinese imports?
Also, the fact that U.S. chicken is contaminated with salmonella has been long known. That’s why the U.S. years ago started warning everyone to cook poultry thoroughly and to decontaminate any utensils or cooking surfaces used in preparing raw poultry.
Moreover, the U.S. consumer wants leaner pork [China’s complaint, see Post article] because its healthier than pork loaded with saturated fat.
So if China wants a trade war, shouldn’t the U.S. be saying bring it on and stop all imports from China?