The China Threat


Containing China’s Threat to the United States

For years, the United States looked the other way as China manipulated its currency, ran up huge trade surpluses with the United States, stole the intellectual property of U.S. companies, and tolerated leaders of a Communist regime who lied about what they were doing.

What was happening was known to our ruling class. There were reasons they remained silent. 

American companies reaped enormous profits by locating facilities in China to exploit cheap labor. As the middle class in China grew, it created new markets for American products, fattening the profits of American corporations. Lax Chinese environmental laws made is cheaper for multi-national corporations to make products in China instead of the United States. 

In 1986, our trade deficit with China was $6 Billion. In no month since have we had a trade surplus. Last year it was $419 Billion. An all-time high. 

Today we pay a price. By some measures China has already become the world’s largest economy. It has invested its trade surplus in building a world class Navy. It now occupies international shipping lanes in the South China Sea. It provokes and threatens our allies. It is headline news when China’s economic growth dips below 7% a year. In the United States, we celebrate when our economy grows more than 2.5%. 

Congress has known for years about the rise of China, its annual double digit increases in military spending, and the theft of American technology. Because little was done to stop it, or counteract it, we face the real possibility that China will someday own the Pacific, and far surpass America’s economic might. 


We can no longer be satisfied to bury our heads in the sand. It is time that we recognize we are the only power on earth that can contain China’s goal of world domination, and force it to abide by the rules of peaceful nations that play by the rules.