Reliance on China’s rare earth elements sector limits the ability of the United States to punish Beijing economically should it pursue a military action against Taiwan.
The exodus is a sign not only of the heavy toll exacted by China’s zero-Covid policies, but also of the country’s turn inwards. Foreigners are no longer considered vital to progress. But the loss of the very people with long-term knowledge, experience and connections to China is significant.
The addition of five Chinese firms to the US ‘entity list’ for allegedly supporting Moscow’s invasion of Ukraine is a warning shot for bigger companies trading with Russia, analysts say.
Washington’s ‘forced labour’ puts an enormous burden on Chinese companies to prove their supply chains are free from rights abuses in Xinjiang. But trade experts question their ability to meet the ‘very high requirements’.
The US is recklessly forging ahead with a campaign to block China, in particular telecoms giant Huawei, from access to the global market and advanced technologies. Yet, as China continues to lead in 5G innovation and has made strides in developing its own microchips, the US is hurting both itself and its allies.