Chinese president to defend globalization in Davos Noah Barkin 56 Mins Ago Reuters * Xi is first Chinese president to appear at WEF * Appearance comes amid rising tensions with Trump team * China economy worries ease but big risks remain DAVOS, Switzerland, Jan 17 (Reuters) - Chinese President Xi Jinping will defend globalisation in the face of mounting public hostility in the West on Tuesday in a speech at the World Economic Forum that will underline Beijing's growing global role. Xi's appearance, a first for a Chinese leader at the annual meeting of political leaders, CEOs and bankers in Davos, comes as the part the United States plays as a force for multilateral cooperation on issues like trade and climate change is in doubt following the election of Donald Trump. Europe, meanwhile, is pre-occupied with its own troubles, from Brexit and militant attacks to the string of elections this year in which anti-globalisation populists could score gains. This has left a vacuum that China seems eager to fill. "It is no coincidence that Xi chose this year to make the trip up the magic mountain," said Ian Bremmer, president of Eurasia Group, a U.S. based political risk consultancy. More than half a dozen senior Chinese government figures will be in Davos this week, far more than in past years. And a large number of sessions are focused on Asia, including one entitled "Asia Takes the Lead". WEF founder Klaus Schwab said Xi's presence was a sign of the shift from a uni-polar world dominated by the United States, to a more multi-polar system in which rising powers like China will have to step up and play a bigger role. "We can hope that China in this new world will assume a responsive and responsible leadership role," Schwab told Reuters. "So in some ways it is very symbolic to have the president of China here." "TAKE OFF THE GLOVES" Xi's appearance comes amid rising tensions between Beijing and president-elect Trump, who will be inaugurated on Friday, the final day of the Davos meeting. Trump campaigned on a promise to confront China more aggressively on trade and broke with decades of precedent last month by taking a congratulatory telephone call from the president of Taiwan, which Beijing sees as part of China. He has not toned down his rhetoric since, saying only last week that America's "One China" policy was up for negotiation, triggering a furious response from state-run Chinese newspapers. "If Trump is determined to use this gambit in taking office, a period of fierce, damaging interactions will be unavoidable, as Beijing will have no choice but to take off the gloves," the English-language China Daily said. Xi is not expected to wade into the tit-for-tat with Trump in Davos. Speaking in the Swiss capital Bern on the eve of his speech, he stressed the importance of cooperation. "Protectionism, populism and de-globalisation are on the rise. It's not good for closer economic cooperation globally," Xi said. China, the world's top exporter, is heavily dependent on free trade and could be hit hard by a new wave of protectionism. Fears of a hard economic landing in China roiled global markets during last year's Davos. And while those concerns have eased, the International Monetary Fund warned on Monday of ongoing risks to the economy, including its high reliance on government spending, record lending by state banks and an overheating property market. "China is still one of the biggest risks and I think the only reason it is not at the top of the list is that the United States has become such a locust of uncertainty," Kenneth Rogoff, an economist at Harvard University, told Reuters.
Looks like China has painted themselves into a corner. Now who does that remind me of...ummmm??? Oh yeah, that would be Japan in the 1930's
I have thought about this, and I am inclined to think that the course of history followed by Japan of the 1930s may serve as a warning to the U.S. of what could happen if the political parties refuse to cooperate and form a united front against growing right-wing nationalism. Japan in the early 1930s was experiencing a self induced deflation and depression which was only made worse by the subsequent worldwide depression. This, plus political turmoil created an opportunity for an aggressive military to extend its influence in government and eventually take over. Simultaneously, with growing military influence in internal politics, the successor Finance minister adopted Keynesian measures that were remarkable in restoring the economy and countering the ill advised actions of the previous finance minister. Because of the early institution of these policies, Japan was the first to recovery from the 1930s depression. This stands as one of the best examples of the effectiveness of Keynes prescription for recessions -- though it is not clear what influence Keynes himself had, if any.. By the time of recovery, and in the absence of a united effort by the political parties, it was too late to head off growing nationalist sentiments and an eventual military takeover. Squabbling and non-cooperation among the political parties of the day facilitated this. (Not unlike in the U.S. today, one party turned a blind eye to military excesses, or even encouraged them, while the other did not, but neither party could work effectively with the other to prevent the rise of nationalism -- "The America First Movement," in the case of the U.S. today -- and the assumption of power by the military.) In the Meantime, Japan created an incident that they used as a pretense to invade China, A la U.S. style. When Japan invaded French Indochina the U.S. responded by imposing an oil embargo and freezing Japanese assets held in the U.S. This led of course to the Japanese, retaliatory attack on Pearl Harbor and the subsequent events all Americans are well acquainted with.
The thing is, the left is supposed to enact protectionist tariffs. When the right pushes for it, then what's a capitalist like myself and many others supposed to do?
Mr. Dump has picked fights with the US's top trading partners. For instance the EU, China, Mexico, Australia etc. And he has only been in office a few days. He doesn't understand politics on an international scale. The guy is either insane or a walking, talking disaster. The likely outcome is the isolation of the US which is producing over priced goods. Home produced but need propping up with tariffs to compete. The alternative to the obvious and rational view will be put rather rudely by Elite's Trumpites. They are blinkered in their own little world of lies and self delusion. They don't need more jobs in manufacturing. They are likely to need more employees to manage the growing need for funny farms. A sad end of a once mighty country. Wrecked by their own politicians.