China News Service: "Decoupling" vs. "Retracting", where will the world slide?

　　BEIJING, September 14 electric

　　Author: Chen Nian

　　At a press conference held on Labor Day in the United States (September 7), U.S. President Trump once again talked about the issue of "decoupling" between the United States and China, "The United States lost billions of dollars in doing business with China, China moved back to the United States and will prohibit signing contracts with Chinese business outsourcing companies"..."Decoupling" has become a political term frequently used by the current US government.

　　On September 6th, Beijing time, the "North America China Investment Summit Forum" was one of the theme activities of the 2020 China Service Trade Fair, which attracted the attention of domestic and foreign media.

Tennessee officials introduced the advantages of the state to Chinese companies through a video link, and stated that they "will continue to support foreign companies including China in their investment and development in a healthy way."

Coincidentally, Tennessee is one of the "base camps" of the Republican Party.

　　On the one hand, it is spreading the argument of "decoupling" and on the other hand is committed to the "retracting" operation. Such a different scene outlines the divisive dilemma facing the world today and also exposes the "inconsistent pace" between the US local government and the White House.

More precisely, the White House's "decoupling" argument does not seem to be favored by American society.

　　Think tanks, the Peterson Institute for International Economics in the United States, warned that countries that try to be self-sufficient and “decouple” from the global economy will eventually encounter more difficulties due to the lack of diversified procurement and domestic economic shocks.

Stephen Roach, a senior researcher at Yale University, pointed out that in the past 20 years, the United States and China have benefited a lot from their interdependent relationship. The economies of the two countries are not only closely linked, but also closely intertwined with the global economy. It is not realistic for China and the United States to "decouple" It's not easy.

　　The media-the US "Foreign Affairs" magazine website published an article that it is foolish to "disconnect" from China, and choosing to cut off relations with China may cause the United States to become disconnected from the world.

The Bloomberg article "Trump Asks for "Decoupling", but American Companies Want More" argues that it is precisely because of close relationships with Chinese and Asian merchants and flexible supply chains that American department stores are free from shortages.

　　Enterprises-A survey released by the American Chamber of Commerce in Shanghai on September 9 shows that despite the tensions in Sino-US trade and political relations, more than 92% of US companies in China have no plans to withdraw, even though Trump promised that the government would subsidize companies to "relocate." fee".

Imagine when Apple had to substantially increase its inventory because it was difficult to replicate its foundry model in China, when Qualcomm lost its major chip orders due to the White House’s strategy of suppressing Huawei, and when Silicon Valley in the United States was unable to recruit high prices due to the government’s tightening of its study abroad policy. The cost-effective Chinese engineers have caused a sharp decline in corporate profits. How frustrated.

It’s no wonder that Georgetown University’s US-China Project Dialogue Senior Fellow Mai Aiwen believes that “Trump’s policies toward China run counter to the views of the American business community”.

　　Wall Street-Pioneer Group, a large asset management company, is moving its Asian headquarters to Shanghai; JPMorgan Chase may spend US$1 billion to buy control of its Chinese currency management company, China Investment JP Morgan; in the past year, foreign fund management companies have purchased nearly 200 billion U.S. dollars in mainland Chinese stocks and bonds... Wall Street's "contrarian" expansion in China is based on the judgment of the international financial situation. It firmly believes that the focus of the financial industry will shift eastward, and the Chinese financial market is a place to look forward to.

　　Consumers-Watson, who graduated from the University of Cambridge in the United Kingdom, analyzed that the “decoupling” of China and the United States means that China buys fewer goods from Boeing, GM, Pfizer, Apple, Hollywood and American farmers, which is beneficial to American business and employment Both are extremely disadvantageous.

Some American manufacturers will have to produce products that have no comparative advantage, and American consumers will have to pay more for this.

This will inevitably greatly reduce the standard of living and consumption. Are Americans ready?

　　Taken together, the various "connections" established between China and the United States based on objective laws over the past 40 years can never be cut off with a knife. Whether it is economic decoupling, technological decoupling or humanistic decoupling, the costs of both parties are very high. huge.

It's like shooting a boomerang and hitting others, but it hurts itself.

For the lack of evidence of security threats (such as Chinese equipment stealing US data) and the loss of business interests and convenience of life, American society does not consider this to be a rational choice.

　　Scholars and institutions have used huge amounts of data and complex models to estimate the abstract loss of "decoupling" between China and the United States. However, for specific groups of people in this "epoch of uncertainty", including those American companies in China that are reluctant to move back Chinese suppliers and American technology companies in the market, Wall Street that continues to increase investment in China, American consumers who still love China-made products, farmers who want to sell more agricultural products to China, American universities that welcome Chinese students to enter The Internet celebrities who realize "realization of interest" on TIKTOK...The pain of "decoupling" is deeply rooted in the skin. This is exactly where they use their own methods to eliminate "decoupling", fight against "decoupling" and even actively strengthen "retracting".

　　The "retractor" power rooted in American society is not alone.

All over the world, the forces advocating "retracting the hook" continue to converge.

　　The 2020 China Service Trade Fair, which has just concluded, is based on "global service, mutual benefit and sharing", and through building a platform to help "world service" enter and "Chinese service" go out, revitalize global service trade energy and help global economic development; forward Soon, Chinese President Xi Jinping pointed out that "all countries, regions and companies willing to cooperate with us, including the states, localities and companies in the United States, we must actively cooperate", sending a positive signal to American companies disturbed by the tension between China and the United States. ...

　　In addition, European countries refuse to align with the United States on the 5G issue, and maintain their defense of multilateralism, globalization, and an open world economy; Australian public opinion criticizes the government for dancing with the United States, and believes that “decoupling” with China is not in Australia’s interests; Southeast Asian countries believe that the "decoupling" of China and the United States will only bring disastrous consequences, and they refuse to "choose sides"...

　　In the contest between the two forces of "decoupling" and "retracting the hook", where will the world eventually slide?

The answer should be "the right side of history".

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