The world is about competition.
Do you get the feeling that China and Russia are slicing up the world pie? Or want to?
At Peace and Freedom, we get the feeling that Russia and China are grabbing all the economic value from the world and leaving the U.S. to happily make subsidized cars in Detroit. Case in point is the current global foray of Russian President Dmitry Medvedev who is wrapping up a gigantic business trip to nations like Venezuela and India.
Russian President Dmitry Medvedev (R) waves as Indian Prime Minister Manmohan Singh looks on at a welcome ceremony in New Delhi. Singh hailed a landmark nuclear deal signed with Russia on Friday as a “milestone in the history of our cooperation” after meeting in India with Medvedev.(AFP/Raveendran)
Like it or not, where the U.S. isn’t, China and Russia thrive.
Earlier this year China’s President Hu Jintao completed a multi-nation trip to Africa. Mostly, he seized opportunities to cheaply exploit raw materials desperately needed by China’s industrial dragon. President Hu even went to Sudan despite international condemnation of the genocide in Darfur.
China also has recently completed the largest seaport in the world at Gwadar in Pakistan.
Russia and China often work in tandem — as they do in behalf of Iran. China and russia have the lions share of the business dealing with Iran, so when the U.S. proposes sanctions on Iran’s nuclear program, China and Russia block the effort together.
Human rights takes a back seat in Russian and Chinese business. And both nations have their top guy out there globally beating the bushes in favor of homeland businesses.
When the U.S. was agast at human rights abuses in Myanmar, China objected and protested the junta. China wants Myanmar’s oil.
Homeless, displaced refugees in Darfur. But China still pours money into Sudan in exchange for oil….
Add this to the many challenges of Barack Obama. Sitting in the U.S. watching the United Auto Workers kill off the car industry as we gear up to produce environmentally pure “Made in the U.S.A.” windmills might be fine for some; but we’d like to add our voice to those that believe the U.S. needs to be a major global business.
We need to think big. We need to redevelop the U.S. infrastructure with jobs and billions of dollars of spending. But we also need to hunt out and drag home a lot more of the global market.
Wherever the U.S. is shy to go in the world: Medvedev and Hu Jintao do not fear to tread. They have been — or they plan to go.
By John E. Carey
Peace and Freedom
China Now Holds Most of U.S. Debt
China passed Japan to become the U.S. government’s largest foreign creditor in September, the Treasury Department announced yesterday, reflecting the dramatic expansion of Beijing’s economic influence over the American economy.
China’s new status — it now owns nearly $1 out of every $10 in U.S. public debt — means Washington will be increasingly forced to rely on Beijing as it seeks to raise money to cover the cost of a $700 billion bailout. China, in fact, may be the government’s largest creditor, period. The Treasury does not keep records on domestic bond holders. But analysts said China’s holdings are so vast that the existence of a larger stakeholder in the United States now seems unlikely.
By Anthony Faiola and Zachary A. Goldfarb
The Washington Post