Obama says China’s Trade Policies are Hurting Manufacturers. (Industry Week.com – sourced from Agence France – Presse, June 24, 2009, by. P. Parameswaran.) The….”Obama administration has filed it’s first World Trade Organization complaint against China….together with the E.U. launched the complaint on June 23….accusing China of limiting raw material exports of bauxite and zinc….to give an unfair advantage to Chinese manufacturers.
(Bauxite is the key element component in the manufacture of aluminum and zinc is the primary element used in the manufacture of semi-conductors – China is the largest source of these raw materials.)
The problem here is that China is holding 800 billion dollars in U.S. Treasury Bonds in conjunction with the massive borrowing, by the Obama administration, (of money from the Chinese), to pay for it’s excessive spending policies – that being said, do the Chinese really care about Obama’s complaint – probably not.
What seems to be in play here is the beginning of China flexing it’s economic muscle to limit competition, against it’s manufacturers, by controlling access to raw materials that are necessary to the worlds manufacturing industries. China is coming of age – it’s not their military expansion that we need to be worrying about – it’s their economic muscle and simply put – this administration and those previous to it, have sold us down the river and put us in the jaws of the Chinese dragon. Just my opinion.
Beaudreaux
