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Originally Posted by ottomobeale
I am reading about quite a few companies slowly (very) moving their supply chains out of China. Yes there are multiple other factors like increasing Chinese costs. No one knows long term how far or fast but I am simply no fan of China.
Mexico has no missiles pointed at us.
Mexico steals far less intellectual property.
Mexico is not trying to take over the South China Sea.
US Mexico trade balance is 1.24 to 1 vs US China trade balance is 4.49 to 1
China is screwing us hard. Something that needs to be worked on in the LONG TERM. Something that, at the moment, we have no choice but take it.
Edit I am no fan of the tariffs as I see them as a shift of tax burden from high to low.
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Nothing you say is untrue, but context is everything - as is true long term planning and careful examination of all the nuances.
For example, the very same "trade warriors" we see today have, up until recently, told us the very best thing we can do with adversaries is to trade more with them! There is logic in that - but no logic in not trading because a country is defending themselves. One can out and out say and prove it - that China is vastly more peaceful (in this century) then the USA. Just because I was born here doesn't mean I naturally support our occupation and strong-arming of the entire world.
To the IP question......of course, Mexico does not have as large of a population and has a tech and defense industry VASTLY smaller than China or ours. It makes perfect sense they don't steal our IP because they don't have to - we are "one" with Mexico in that many of our plants are located there and vast areas of our country WERE Mexico, etc.
These things cannot be compared.
Why would I care about the S. China Sea? China, as an emerging power, has the full right to flex their muscles....or at least as many as we have! Alaska, Hawaii, Puerto Rico, Phillipines, etc - many areas we have taken over and remain largely in control (or call the tune).
But take ALL of these nuances aside...because I don't believe they are the issues at hand. IP and trade balances can be adjusted over time - and should be. Nuclear weapons, whether Russian, French, British, Israel or otherwise....can be pointed somewhere in a few moments.
The real key here is something almost no one mentions....We need China more than China needs us. This is being proven as we speak. It's basic common sense. 1.2 Billion ambitious and hard working up and coming people consume and produce more than 320 million...many of who are busy watching "Mall Cop" while high.
Add to that the fact that most every nation on the planet is now looking toward China...instead of the USA...due largely to Trumpism (we are unreliable) and you have a movement that is impossible to avoid.
I'm not going to claim I am always right - closer to 90% in that realm. But it looks to me like Trump thinks he holds card that he does not. AND, the Chinese and rest of the world know it. So, if I am correct, only fools think this will turn out well due to these actions.
So, in summary, count me in for long term smart trade talks, negotiations, changes, etc. that are done by SMART people and represent the next couple decades worth of planning.
Count me OUT as one who imagines if you throw all the cards up in the air, they will somehow fall into a Royal Flush.