Trump and his administration have been calling Covid-19 the “Chinese Virus”. They discuss opening the economy despite the highest death rate, blame China for all the problems and demand them to pay compensation. Why are American companies suing China for the Covid-19 damage? Do you think they are stupid? Or is this a new scenario staging at the moment?
Let’s have a look at what has happened during the past 30 years between China and the US. The US ordered lots of things from China. China produced these goods and the US paid with US dollars. China paid the raw material and energy needed to produce them with some of the earned dollars. By producing and selling all these things, China has benefited in many ways.
– Trillions of US Dollar reserves, US bonds and market shares
– Technological Know-how (Do you remember the recent Huawei story?)
– Increasing political and military power
And these not only make China a shareholder in US companies, but also a threat to the US by using this newly acquired political, financial, technical and military power.
The US Secretary of State, Mike Pompeo, claims he has seen confidential lab reports on the virus being cultivated in a Chinese lab, while prominent epidemiologists have denied this claim. If you repeatedly blame somebody for a problem and claim you have evidence, eventually people may start believing it. Unfortunately, this happened many times in history. Do you recall something similar, like mass destruction weapons in Iraq, or overstated civilian causalities in Libya? With all these falsely but purposely called names, lawsuits and blames, there will be a solid base for distancing or even an embargo against China. The huge drop in Chinese goods will eventually worsen its economy while increasing job losses, which may also initiate national unrest in the country. China will also have difficulties in spending all these US Dollars in its reserves. On the contrary, the US will increase production; decrease unemployment, resulting in the fulfillment of the promise “making America great again”, just in time for the upcoming elections.
Do you think this is a crazy story? Then why has China started to increase its gold reserves instead of USD reserves? Why do you think they tend to cooperate more with other nations worldwide and openly share more data? While the Chinese government has called the allegations a smear campaign, the Australian government has called for an international inquiry into the origins of Covid-19 and the Japanese government has already reserved a 2.3 billion USD fund to shift production out of China. I believe this explains the anti-Chinese sentiment brewing in the US under the Trump administration.