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Trump's Protectionists: A War on the Chinese Model

Updated on December 2, 2019
Hafiz Muhammad Adnan profile image

I like to read and write in English language on any topic, such as social, political, business, educational, sports & worldly issues etc..

Protectionist Measures

What Donald Trump is doing in terms of tightening protectionist measures is a complete reformulation of the concept of inter-state trade. The exchange in accordance with WTO laws is governed by less state sovereignty, so that it is left to the market to regulate the flow of goods and capital. When a trade imbalance is disrupted for the benefit of a particular country, those affected are not allowed to intervene to adjust fiscal surpluses, but are subject to the laws governing global trade, which is exactly what Trump is trying to change. He believes that regulating trade in this way has allowed countries with large industrial structures and flexibility in the process of exporting goods and access to international markets to achieve competitive advantages at the expense of other countries that are less productive and able to capitalist and accumulate. The situation in the region is also exacerbated by the fact that the number of people living in poverle areas has increased by about 10 per cent since 1990.

What Trump is doing is a complete reformulation of the concept of inter-state trade
What Trump is doing is a complete reformulation of the concept of inter-state trade

Obsession with Weakening China

China is at the forefront of these countries, and therefore is central to Trump's quest to control the trade processes of which the United States is a part. He and his administration cannot reduce their growing dominance over international trade, but from the U.S. central position in the process of capital accumulation, some countries can be forced to comply with America's desire to improve terms of trade competition with them. This will not directly affect Beijing, but it will reflect on its dominant trade role as Germany leads the process of unifying international markets, and making trade take place within multilateral frameworks, which essentially includes free trade agreements that the Trump administration is seeking to undermine, worldwide.

Even the agreements created to counter China's trade (TPP) in the era of former U.S. presidents that the Trump administration seeks to weaken, because, in its view, it is consistent with China's trade philosophy of creating regional trade regimes that replace political influence. direct states. It is this obsession with weakening China commercially that makes Trump's protectionism a key determinant of his policy. His withdrawal from this or that agreement is often accompanied by justifications that do not target the country with which he disagrees as much as China, as the spearhead of the process of undermining U.S. hegemony over international trade.

The Effectiveness of the Chinese Model

The latest attempt sought to target them is the signing of an executive order from Trump, which imposes customs duties on Chinese imports to the U.S. market worth $60 billion. The justification given to the order is that it continues to steal U.S. technologies and localize them within Chinese industries to further boost their exports and enhance their position in trade with partners and adversaries. Commercial theft is not the basis here, and it often occurs in many countries if its industrial structure is not qualified to operate production lines that can compete globally. What bothers the United States is the use of this technology to enhance China's commercial position, so that it is eligible not only for America's competition for markets, but also for solutions instead to lead the process of capital accumulation. Localizing technology in this sense is an additional Chinese contribution to breaking the monopoly of U.S. companies for high-tech, or high-tech, and creating a model that does not reduce it as much as it puts it within the reach of the largest segment of consumers possible. Goods produced in this way weaken intellectual property protection laws that were put in place not to protect U.S. products from "illegal" competition, but to deprive the lower and poor middle classes of their purchase. That is, the U.S. monopoly on markets protected by intellectual property laws is accompanied by the fact that the consumption of goods produced in accordance with these laws is limited to certain layers, which means making the product of trade accessible to the minority that is able to pay. Of course, this is a fundamental difference between U.S. and Chinese capitalism, and is often obscured or excluded from the debate when the debate over the U.S.-China trade war opens. Its debate is not favorable even in the current era, which is being portrayed in contravention of globalization, free trade agreements and laws governing international trade.

Protectionist to Restore Commercial Dominance

There is a major misunderstanding of Trump's protection, which is evident in many cases, including trade competition with China. This includes the belief that he is indeed radically opposed to capitalist globalization, sometimes to the left of Bernie Sanders or Jeremy Corbyn or other leaders of the radical left of the world. In fact, there is a real objection within this administration to the way globalization is managed, but not to make it fairer, but to make greater gains for the United States, which is in stark contrast to the left's thesis, if not entirely. Trump believes that globalization as it stands has weakened U.S. hegemony over international trade, and therefore raises slogans that try to restore that hegemony, but with different tools. The idea of bringing U.S. capital and industries back in, as well as its attempt to provide credits to capital and companies, is to boost growth and create jobs. He does not adopt a socialist approach, nor does he even seek to hide his bias towards capitalist owners, but because of the development of capital accumulation and the expansion of the framework of participation to include states that are not necessarily capitalist, men's opposition to free trade agreements seemed to be a kind of Keynesianism on a global level. In other words, a capitalist state intervenes to prevent other capitalist states from acquiring and exchanged their share of the wealth generated by value production. This is the actual meaning of Trump's talk of adjusting the trade balance in favor of the United States in most trade agreements with economic partners, and he is also the reason why he prefers the model of bilateral trade agreements over its multiple or regional partnership counterparts. In both cases, there is a surplus that prevents the larger capitalist state with the most complex and sophisticated industrial structure from acquiring the largest share of the wealth produced globally.

With the surplus, the monopoly declines to the disadvantage of this State, and the benefit of commercial competition, both bilateral and multiple, becomes effectively exchanged, i.e. not under the control of a single State. This is what China is now accused of by the Trump administration, against which a fierce trade war is being waged against by the pretext of monopolizing international markets, and its trading partners are threatened with a fate that is not tolerated by the President of the United States. With this not widespread, the alternative would be to prevent it from achieving significant competitive advantages within markets that used to "invade" and flood its products, including, of course, the U.S. market.

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This content is accurate and true to the best of the author’s knowledge and is not meant to substitute for formal and individualized advice from a qualified professional.

© 2019 Hafiz Muhamamd Adnan


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    • Hafiz Muhammad Adnan profile imageAUTHOR

      Hafiz Muhamamd Adnan 

      6 days ago from Pakistan

      You can see it in the article, whats my views about the trump policies.

    • Ken Burgess profile image

      Ken Burgess 

      6 days ago from Florida

      Interesting article, what is your position on Trump's foreign relations efforts, particularly with trade?

      China is becoming an excellent example of George Orwell's 1984 come to life. China is intent on replacing America as global leader economically, industrially, and in world leadership. It would be unwise to ignore this reality.

      Trump is not isolationist, protectionist in the sense that in his trade pursuits, he has improved trade agreements with Canada, Mexico, Japan, etc. so that trade is fair and beneficial.


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