China, China, China Donald Trump's catchphrase. Trump since the moment he thought about running for the presidency he used China as a slogan for his elections' campaigns and that worked for him very well winning the support of many American citizens. In the last few months, Trump started a trade war with China in order to fulfil his promise to the US citizens of having a balanced trade with China; however, this is not the only reason for this trade war; in this article, we will discuss the real and the hidden reasons for this trade war.
in a public speech Trump said, "Their leaders are much smarter than our leaders"; in this statement and in other ones Trump is trying to convince the American people that all the leaders, came before him, were stupid and they couldn't have balanced trades with China because of their stupidity and nothing else, but in reality China has lower wages and a huge workforce which make the Chinese products cheaper than the American ones; for that reason Americans prefer to buy Chinese products and this plays an important rule in the US trade deficit.
Another accusation of Trump is that China is manipulating its currency to kill the competition on the American side; in fact, no one can disagree with Trump on this point because it's the truth, but this is China problem and they have the right to do whatever they want to their own economy and currency. If the US does not like that it can look for other suppliers in other countries, and not start a trade war that will harm the whole world.
the reality is Trump does not care about the US citizens, and they are not his priority; in fact, he is only executing the orders of the neocons who their main goals are two things.
First; 5G. the Chinese company Huawei is one of the first companies in the world to start developing the 5G network; furthermore, Huawei now is dominating the 5G space thanks to its advanced technologies and researches. As a result, US companies started signing contracts with Huawei for using its 5G technology; however, the US leader didn't like that and decided to stop that by arresting Men Wanzhou a Huawei executive and the daughter of Huawei CEO and forbidding the US companies from doing business with Huawei, and they justified that by accusing Huawei of spying on the US without providing any pieces of evidence.
Second semiconductors. semiconductors are a vital ingredient in computer chips. If you look in your car you will find dozens of them, you will find them in your smartphones, laptops and every electronic device. the US is the biggest manufacturer and exporter of semiconductors in the world and China is by far the largest consumer of semiconductors; it accounts for about 45 per cent of the worldwide demand for chips. However, recently China decided to gain semiconductor independence through immense investments and researches; as usual, the US leaders decided that they have to do anything (legally or illegally) to stop China from doing that because semiconductors exports are one of the main pillars of the USA economy and if China gain semiconductor independence, the US economy will be completely destroyed, and this is in itself a monopoly.
the US leaders have always enjoyed the domination of the market of technology, but now there are other good competitors such as China, and instead of competing with them in a legal and fair way they decided to abuse their powers and attack them in an illegal way, and this may lead to an economic crisis in the whole world.