All of the statements in this article are based on reliable sources and are reproduced at the end of this article
Since the end of U.S. Treasury Secretary Janet Yellen's visit to China, China's "overcapacity" has become a U.S. label against the mainland.
not only started a new round of tug-of-war from tariffs, but also announced the opening of a "301" investigation on the mainland's ship logistics on April 17, local time.
Even though China and the United States have started four rounds of negotiations, the results are still not satisfactory.
It is disgusting that the Biden administration has not only chosen to raise US tariffs, but also said that it does not want to enter into a conflict with China.
"What is a 301 investigation?"
Recently, Biden has taken a series of trade measures against China in the name of protecting the U.S. steel industry.
He announced that the tariff on the mainland's steel and aluminum imports would be raised in order to curb the mainland's export advantage in steel and aluminum products.
This is an approach to reduce dependence on mainland steel and aluminum products, while promoting the domestic steel industry in the United States.
This is in the context of Section 301.
Section 301 is a unilateral intellectual property trade clause enacted by the United States.
If the U.S. believes that other countries have engaged in unfair trade practices, it may choose to trigger the provision and initiate an investigation.
After the investigation, negotiations can be initiated with other governments, and if the outcome is satisfactory to the United States, then it will be closed, and if it is not satisfied, then the United States will impose sanctions.
Historically, the United States has conducted six Section 301 investigations against the mainland.
The first time was back in 1991, when the United States felt that the mainland's patent law was flawed and that the United States unilaterally felt threatened.
After six months of investigation, the United States has released a list of $2.8 billion worth of retaliation.
Subsequently, a 100% punitive tariff was imposed on clothing, shoes and other products exported from China.
Since then, several investigations have been conducted based on unilateral materials such as intellectual property, patents, and trademarks in the United States.
And the trade issue between China and the United States has been "loving and killing each other" for more than 30 years.
The United States is still unaware of its problems and has chosen to go its own way and thus affect the international market.
Biden believes that this decision is necessary to safeguard the national interests and trade status of the United States.
And it can send a message to the mainland: the United States is unswervingly protecting its own industry.
Later, Biden also publicly stated that his bottom line is to compete fairly with China, not to have a fierce conflict.
Just when Biden announced the opening of Section 301 against the mainland.
China and the United States have started four rounds of negotiations, but these four rounds of negotiations are basically "cross-server chats", and there is no substantive progress.
During the first round of talks, China and the United States had heated discussions on the "Indo-Pacific Strategy".
And the United States has made a series of moves, including making mistakes, winning over small circles, and undermining issues such as peace in the Asia-Pacific region.
The mainland also made a clear statement, but the United States still chose to adhere to its own "just police" principle.
In the second round of the Taiwan issue, the mainland also reiterated its position that Taiwan is an inalienable part of China.
However, the United States also verbally promised to respect the one-China principle, and then sent a reconnaissance plane over the Taiwan Strait.
Thirdly, when it comes to economic and trade issues, the mainland has also expressed questions about the trade restrictions formulated by the United States.
And according to Yellen's theory of "overcapacity", the end result is that the two sides choose to maintain communication.
The fourth round was the recent video call between the Chinese and US defense ministers.
Since the last "balloon incident," relations between China and the US military have been stalemate.
A year and a half later, US Secretary of Defense Lloyd Austin took the initiative to call and hope for communication, which can be regarded as a release of sincerity to the mainland.
The two sides held a lengthy video call on the Taiwan issue and the South China Sea issue.
The Chinese side has also made it clear that Taiwan has been an inalienable part of China since ancient times, and any act of splitting China will not be connived up
The South China Sea side also demanded that the US side clearly recognize its position and respect the mainland's territorial and maritime sovereignty in the South China Sea.
We urge the US side to use its own concrete actions to safeguard regional peace and promote stability in Sino-US relations.
"Reducing U.S. Debt Holdings"
After these four rounds of talks, the two sides have also released signals of friendly communication, but the US side has done the same thing.
You must know that all this will affect the people of the United States in a painful way.
Since the start of the US-China trade war, U.S. companies have not only had to pay higher prices for Chinese products.
It has also indirectly led to the loss of jobs in the United States, thereby increasing the pressure on the lives of the American people.
On the other hand, the mainland has not only not been affected by the economic and trade development of the United States, but has also smashed American companies to pieces with one punch.
It is clear that at this time, Biden is preparing for the US election in seven months, and he has taken aim at the mainland.
In the name of "good America" and care for "grassroots people", so as to get more votes.
While saying that he did not want to be an enemy of China, he "reluctantly" pushed the black pot on the head of the mainland.
We have long been surprised by this kind of behavior.
The mainland also expected that the United States chose to release a friendly signal only for political reasons this time.
At the beginning of this year, the company began to reduce its holdings of U.S. bonds.
In January, the mainland reduced its holdings of U.S. bonds by $18.6 billion, while Japan increased by $14.9 billion that month.
In February, it reduced its holdings of U.S. bonds by $22.7 billion again, bringing the overall size to $775 billion.
Japan chose to increase its holdings by $164.14 billion in the same month, and now holds $1,167.9 billion in U.S. bonds.
As the younger brother of the United States, Japan has become the largest creditor of the United States.
Looking at the entire international market, many countries have chosen to start selling US bonds and turn around to join the Chinese market.
This is a clear indication that the global market economy has changed dramatically.
Today, the U.S. national debt has reached $34 trillion, or 130% of GDP, which is far beyond the security threshold.
The mainland's total debt is 61 trillion yuan, or 50% of GDP.
This makes it clear that the bond markets of China and the United States are more secure and stable than those of the mainland.
It can also reflect the redivision of global economic rights from the side.
The most intuitive way for the continent to analyze its development speed and global status is from the economic aspect.
This has also attracted more attention from capital, which has made them pay more attention to the Chinese market.
In the future, this trend of capital flow will be more obvious, and the global economy will encounter more opportunities.
"Conclusion"
Whether it is from the frequent communication, or from the targeted policy of the US sale, it can be seen that this is a point.
That is, the goodwill signal sent by the United States is that it hopes that the mainland will follow their steps.
However, on the issue of principle, the mainland will not choose to be accustomed to the United States.
For the United States, the most painful blow is to reduce its holdings of U.S. bonds, and I believe that this move can make the United States calm down.
Resources:
Phoenix Finance: Global Morning Post丨China sells $22.7 billion in U.S. Treasury bonds, and the Federal Reserve may stop shrinking its balance sheet next year
Southeast Satellite TV's "Straits Shinkansen": The defense ministers of China and the United States have spoken on the phone for the first time in two years! The US side has arrogantly made unreasonable demands