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US Responds To China "Global Disaster" Threat By Boosting Military Presence In China's Back Yard

Tyler Durden's picture




 

Just when we thought US foreign policy couldn't sink to new lows, it does just that.  Recall yesterday's less than veiled threat by China president Xi Jinping Xi called for greater military communication with the U.S., adding that "A conflict between China and United States will definitely be a disaster for the two countries and the world. As long as we uphold mutual respect, maintain strategic patience and remain unperturbed by individual incidents and comments, we’ll be able to keep relations on a firm footing despite ups and downs that may come our way.” So what does the US do? Nothing short of taking a machete and poking the Dragon in the mouth.

According to the FT, the US is developing new military tactics to deter China’s slow but steady territorial advances in the South China Sea, including more aggressive use of surveillance aircraft and naval operations near contested areas. “Our efforts to deter China [in the South China Sea] have clearly not worked,” said a senior US official.

In other words, the US is doing precisely what China warned not to do, and what according to the Chinese president would lead to "disaster for the two countries." Because clearly there is nothing a superpower in decline wants to do more than to antagonize its ascendent replacement, and all the other countries like Russia, France and Germany that are gravitating toward its power.

Apparently, the "rethink" comes in the wake of the series of low-level incursions China has used to shift the status quo in one of the vital waterways of the global economy.

So how will the US "escalate" its presence in China without doing its usual bull in a, pardon the pun, China shop routine? That appears to be the problem:

The challenge for the US military is to find tactics to deter these small-scale Chinese moves without escalating particular disputes into a broader military conflict. Every year, $5,300bn of goods cross the South China Sea by ship.

 

The growing tensions in the South China Sea, which include disputes between China and Vietnam and the Philippines, cast a shadow over the annual meeting between senior US and Chinese officials, known as the Strategic and Economic Dialogue, which started in Beijing on Wednesday.

 

The US delegation, led by secretary of state John Kerry and Treasury secretary Jack Lew, face the delicate task of trying to shore up an increasingly fragile relationship with Beijing, while laying out American concerns about Chinese maritime expansionism and cyber theft. For their part, the Chinese are irked by US moves to prosecute Chinese military officials over alleged cyber-hacking and by American alliances in Asia which Beijing views as a form of containment.

Apparently the lightbulb moment came when the US "hinted" to China that it has drones. Because China didn't know that already.

One element of the emerging US strategy was evident in March when the US flew P-8A surveillance planes over the Second Thomas Shoal, an uninhabited atoll in the South China Sea. Chinese ships there were trying to prevent the Philippines from supplying marines who were trying to get essential supplies to a ship that in 1999 was deliberately run aground on a land-feature claimed by both countries. The US planes flew at low altitude to make sure they were visible to the Chinese.

 

“This is a new dynamic,” said a former Pentagon official familiar with the operation. “The message is, ‘we know what you are doing, your actions will have consequences and that we have the capacity and the will and we are here’.”

 

A spokesman for the US military’s Pacific Command said that “we do routine operations in these waters and airspace on a regular basis”.

 

More extensive use of surveillance aircraft in the region could be coupled with a greater willingness to publicise images or videos of Chinese maritime activity. Some US officials believe the Chinese might be given pause for thought if images of their vessels harassing Vietnamese or Filipino fishermen were to be broadcast.

Really? That's what some US officials think? It never crossed their minds that China actually would love to have its expansive ambitions publicized for the whole world to see, in what following Russia's annexation of Crimea is nothing short of clear defiance of a hegemon that virtually everyone is now mocking - from Russia to France to Germany, and of course, China.

In the meantime, as if it was possible, more humiliation is coming Obama's way:

The Obama administration declared South China Sea a US “national interest” in 2010. Since then it has watched China take effective control in 2012 of Scarborough Shoal, 120 nautical miles west of the Philippines’ main island, Luzon. As well as the altercation at the Second Thomas Shoal this year, Manila has accused Beijing of reclaiming land for a runway in a disputed area while China has also placed an oil rig in waters also claimed by Vietnam. Despite Chinese complaints, the US has long conducted aerial surveillance in the region, although the use of its new generation of P-8A planes in contested areas represents an intensification of the activity.

At least one person is not an idiot:

Bonnie Glaser, an Asia expert at the Center for Strategic and International Studies, said that the surveillance flights showed that the US “has an interest in peaceful resolution of these disputes and opposes China’s coercion”. However, she added: “I’m sceptical such flights will deter Chinese behaviour.”

Good, because they won't. If anything, next China will declare Baja California a "national interest" and start flying its own suerveillance drones over the US. It would be very curious to see just how the US responds to that particular inevitable escalation.

 

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Thu, 07/10/2014 - 10:26 | 4943135 COSMOS
COSMOS's picture

The Russians started it, but the Chinese will Bury Us!!

Looking at thap map the Chinese dont need that many carriers, they are converting those tiny disputed islands to carrier task forces by putting military bases and airstrips on them.

Thu, 07/10/2014 - 10:28 | 4943151 TeamDepends
TeamDepends's picture

Confucius say:  He who poke dragon with machete has asshole for mouth.

Thu, 07/10/2014 - 10:41 | 4943182 David DeGerolamo
David DeGerolamo's picture

I think the updated version should be:

He who poke dragon with machete has asshole for pResident.

Thu, 07/10/2014 - 10:51 | 4943236 BaBaBouy
BaBaBouy's picture

Thank Goodness Our Prez Is On TOP Of It... Drinking & Playing Pool In Texas, We'Re OK...

Thu, 07/10/2014 - 10:55 | 4943259 Headbanger
Headbanger's picture

Good thing I like Chinese food then!

 

Thu, 07/10/2014 - 11:11 | 4943345 SWRichmond
SWRichmond's picture

too much MSG

But our military presence is failing everywhere else, so why not here too?

Thu, 07/10/2014 - 11:21 | 4943399 strannick
strannick's picture

China has always been a big pussy. Russia knows from direct experience -millions dead during the US backed Oligarch exploitation- that the US will kill you gradually anyway, so you might as well stand up.

Thu, 07/10/2014 - 21:19 | 4945880 mjcOH1
mjcOH1's picture

"Recall yesterday's less than veiled threat by China president Xi Jinping Xi called for greater military communication with the U.S., adding that "A conflict between China and United States will definitely be a disaster for the two countries and the world."

Well we'd damn well better do the world a favor and glass it without further à deux then.

Thu, 07/10/2014 - 11:29 | 4943437 Doña K
Doña K's picture

The kids crossing the border will get an Obama surprize. Join the military and you get citizenship. Surprize!!

If he is going into conflicts he needs fresh meat. Remember Puerto Rico? 

Thu, 07/10/2014 - 12:03 | 4943600 Mesquite
Mesquite's picture

Wait a minute... Isn't that the country (China) that has the Sunburn missle..??

Smooth move..

Thu, 07/10/2014 - 12:24 | 4943701 Attitude_Check
Attitude_Check's picture

It will be MUCH better if we just sit on our hands and look the other way while China attemps to violate international law and annex international waters and sovereign territorial waters of neighboring countries in the South China sea.  Appeasement ALWAYs results in less future conflict, like Europe in 1939.  An increase in surveillance troops and support to our allies in the region who are alarmed at the the very direct threat of China to them is hardly unwise sabre rattling.

 

ZH, you are more and more showing yourself to be a tool of Russia and now the Russia/Chinese alliance.  Your agenda is clear, you are now added to the ranks of "news" with a political agenda coloring reporting -- just like the rest of the lame stream media.  You just have different biases.  Sad.

Thu, 07/10/2014 - 13:00 | 4943921 TuPhat
TuPhat's picture

You are right about ZH having an agenda.  They do, everyone does, it's part of being human.  And you are right that appeasement always results in future conflict.  But, why do you think that more war now will be better.  War is where the US foriegn policy is taking us.  If you want it sooner rather than later then you have a right to that opinion but it won't mean less people will die.  This is not a good time for the US to go to war.  We need to pull out of all of our foriegn bases, regroup, strengthen our economy and then we might have a chance at defending ourselves.  Trying to defend (or destroy) the whole world is more than we can do.  If you think Obama has a better plan in mind then you will be sorely disapointed.

Thu, 07/10/2014 - 13:08 | 4943976 goldhedge
goldhedge's picture

and you are showing yourself as a tool for the US MIC

Thu, 07/10/2014 - 13:23 | 4944050 Oquities
Oquities's picture

for your logic to be followed, we must first assume that the US has above all other countries the duty to patrol and police all corners of the globe.  i reject that assumption.

Thu, 07/10/2014 - 16:30 | 4944835 mkkby
mkkby's picture

You idiots fall for the ZH click bait every time because you have no sense of history.  This kind of minor pushing and shoving has gone on for decades.  It doesn't mean war tomorrow any more than it did in 1980.

There will be no sudden reset of the dollar.  It will be a slow, agonizing decline of the 99% standard of living.  Again, just like we saw over the last 40 years.  It is still important to be prepared because there will be local disturbances (think Detroit, Greece)

Fri, 07/11/2014 - 00:59 | 4946355 Hook Line and S...
Hook Line and Sphincter's picture

Mkkby, don't necessarily disagree, but you might want to change your 'black swan' avatar to be congruent with your words.

Just saying...

Hook Line and Sphincter

Fri, 07/11/2014 - 20:02 | 4948785 mrpxsytin
mrpxsytin's picture

"There will be no sudden reset of the dollar.  It will be a slow, agonizing decline of the 99% standard of living."

You mean that hasn't already happened?

Thu, 07/10/2014 - 13:38 | 4944100 McMolotov
McMolotov's picture

"Comin' again to save the motherfuckin' day, yeah!"

Some people apparently haven't gotten the memo that A) we're broke, and B) most of the world resents our pompous, meddling, self-congratulatory foreign policy.

This misguided arrogance will catch up with the US at some point, and reality will give us one hell of a bitch slap.

p.s. Many people see the US as the dangerous imperialist who's being appeased.

Thu, 07/10/2014 - 17:00 | 4944940 asiafinancenews
asiafinancenews's picture

You are correct in that the U.S. does have an obligation under its Mutual Defense Treaties with Asian allies to maintain a military presence in the region as a deterrence to Chinese aggression.  Not that anyone really thinks China will curtail its regional aggression. 

Fri, 07/11/2014 - 00:35 | 4946315 napper
napper's picture

Chinese aggression? LOL. Has a single shot been fired yet? What do you call America's illegal invasions of sovereign countries and mass killing of innocent civilians half way around the globe?

You've been reading US govt propaganda and buying every bit of it. No other country in the world has shown as much aggression as the US has in the past 3 decades.

 

Get real.

 

Fri, 07/11/2014 - 00:41 | 4946324 tickhound
tickhound's picture

It's like this place has been overrun by mainstream talking points. We attract the shit now. You used to have to find the idiots. It's like Disneyland now. It's Disney retail here.

Original thoughts are given the finger.

Few here have ever experienced an actual thought experiment.

Sat, 07/12/2014 - 14:14 | 4950226 IHaveNothingLef...
IHaveNothingLeftButAnger's picture

I've noticed that rather rapid drift in tone in the last few months....couldn't have anything to do with Russian propaganda shills, could it?.......

Thu, 07/10/2014 - 14:11 | 4944259 mc225
mc225's picture

i go to this one chinese restaurant; no msg. less oil too. very very good food.

Thu, 07/10/2014 - 10:56 | 4943261 Pinto Currency
Pinto Currency's picture

 

 

China knows it doesn't need to do a thing.

It just needs to wait while the Federal Reserve destroys the USD and economy.

Thu, 07/10/2014 - 11:04 | 4943307 tbd108
tbd108's picture

With the Chinese flag flying over the Dallas Fed (until the neighbors noticed), I think maybe you will not need to wait too long.

Thu, 07/10/2014 - 11:47 | 4943528 Took Red Pill
Took Red Pill's picture

he who holds the gold makes the rules

Thu, 07/10/2014 - 12:03 | 4943603 Pinto Currency
Pinto Currency's picture

 

 

China's cb is creating a huge mess as well however China is making sure that its people have gold in their hands when things go sideways.

That's the big difference between the West and China.

Thu, 07/10/2014 - 13:24 | 4944059 Oquities
Oquities's picture

the way to win in this game is to get rid of your chips before the other players

Thu, 07/10/2014 - 14:32 | 4944363 TeethVillage88s
TeethVillage88s's picture

Immigration, Mining & Drilling for resources all over the Planet, Globalization, Trans-National Corporations in partnership with military & governments... Lots of angles here.

-Without Borders we have no Country
-But we could have a Financial Corporate Enterprise
-Has the definition of Sovereign Country Changed
-We have had bases all over the Pacific since WWII
-Our Embassies & Military serve to protect our business Interests overseas and Develop New Ones

But the Illegals coming across the border

-Illegal Workers could serve a new Industrialization in the USA, but the profits would just go to a few at the top and some local economies may spring up from new factories
-New Undocumented Workers certainly would NOT lift the average wages in the USA
-New Normal is flat wages topping out at $20 hour
-But all resources are getting more expensive to bring to market, more energy, more technology, more complexity

Our Military Style Government surely doesn't care if it loses in Pacific wars or other wars, they can print money, and recruit poor or middle class people to Enlist or take Commissions.

-Policy: If you have big inflation, more to a new area or city, the government won't help you or get involved in commodity or food markets

-No reason Terrorism can't be blamed on Open Borders later after some big Crisis(who knew? Who could have seen this coming)

-Policy: Everyone should Invest wisely, if we have a crisis, your financial investments are suppose to save you, if you didn't invest your money then perhaps you are at fault, sell your mansion in the housing crash and you can start over in a new market.

Thu, 07/10/2014 - 11:55 | 4943559 Ignorance is bliss
Ignorance is bliss's picture

Did anyone take a picture of the Chinese flag flying over the Fed in Dallas?

Fri, 07/11/2014 - 00:40 | 4946320 napper
napper's picture

What now? The Federal Reserve has got a new owner?

 

The London interests are truly cunning.

Thu, 07/10/2014 - 12:41 | 4943783 kchrisc
kchrisc's picture

Yup, all of the moves by China are messages to the surrounding nations that the old sheriff is on his death bed with the plug about to be pulled and that there is a new sheriff in town.

Thu, 07/10/2014 - 11:20 | 4943388 BobPaulson
BobPaulson's picture

Stop focusing on the puppet figurehead Obama. At least with Bush we knew he was just in his bedroom playing with is hotwheels while the cartels continued to run the world. Blaming Obama means you still believe the charade of the political system.

Thu, 07/10/2014 - 11:31 | 4943446 pods
pods's picture

Why do I have that scene from Slapshot in my head?

"They brought their fuck-ing toys!"

pods

Thu, 07/10/2014 - 11:47 | 4943527 Ferrari
Ferrari's picture

One of the best & most overlooked features of ZeeHedge is all the fabulous movie references to every conceivable nightmare situation. Gawd bless you for that, pods. I need it.

Thu, 07/10/2014 - 11:25 | 4943419 ThirteenthFloor
ThirteenthFloor's picture

Something tells me the Pres never read Sun Tsu.

Thu, 07/10/2014 - 12:24 | 4943702 spankfish
spankfish's picture

He did, but it was the teleprompter version.

Thu, 07/10/2014 - 12:55 | 4943888 sushi
sushi's picture

It was the braille version.

 

And he was wearing gloves.

 

Thu, 07/10/2014 - 13:11 | 4943990 Husk-Erzulie
Husk-Erzulie's picture

Have we established that he is actually literate then?

*Constitutional Law Professor... yeah right, phhweet... where do they come up with this stuff?*

Thu, 07/10/2014 - 15:47 | 4944674 schnydz
schnydz's picture

Best way to defeat your enemy is to know your enemy. Just because he studied it doesn't mean he respects it. 

Fri, 07/11/2014 - 00:45 | 4946329 napper
napper's picture

He hasn't got the time to read it - the stack of instructions from his bosses has been too much to handle already. Besides, the kingmakers of the Establishment do not like their puppets to read books like that. It's damaging to their operations.

Thu, 07/10/2014 - 13:26 | 4944063 Debeachesand Je...
Debeachesand Jerseyshores's picture

You forgot the real reason for this trip is Fund Raising...................

Thu, 07/10/2014 - 10:55 | 4943262 SMG
SMG's picture

So our evil Bankster Oligarchs want the global population down to around 500 million.   

http://en.wikipedia.org/wiki/Georgia_Guidestones

"Maintain humanity under 500,000,000 in perpetual balance with nature."

WWIII is how they do it.  You can see them setting it up, just like they set up the last two World Wars.   

http://www.worldaffairsbrief.com/keytopics/threats.html

God help us all.

Thu, 07/10/2014 - 11:30 | 4943442 Sigh.
Sigh.'s picture

It's animal husbandry for humans, carried out at global scale.

But not necessarily by Bankster Oligarchs. They won't interact directly with the herds. That's for their Kabuki-trained politicians.

Thu, 07/10/2014 - 11:30 | 4943443 Arthor Bearing
Arthor Bearing's picture

That wouldn't be so bad, just as long as they don't nuke the environment to get there. My biggest disagreement with liberals is that they think the world's biggest problem is taking care of all of the people, whereas I htink people are the world's biggest problem and we should be doing what we can to get rid of them.

Thu, 07/10/2014 - 11:31 | 4943445 Arthor Bearing
Arthor Bearing's picture

If I were a bankster oligarch though I'd be thinking plague before war. Perhaps less risk.

Thu, 07/10/2014 - 12:07 | 4943621 Mesquite
Mesquite's picture

Sure hope that maze of underground cities is comfortable...

Fri, 07/11/2014 - 00:55 | 4946346 napper
napper's picture

That might work to get the population down in India, where the government is simply too incompetent to do anything.

 

With countries like China and the US, a non-nuclear war is probably the only way to go if you want to cut the over-population quick. There are several other countries with too many human beings, Japan, Indonesia, the Philippines, Sri Lanka, Bangladash, Pakistan, Vietnam, Mexico, Brazil, ... If plagues don't work, how do you drag those countries into a war?

Thu, 07/10/2014 - 12:10 | 4943641 dizzyfingers
dizzyfingers's picture

Arthor Bearing   TPTB often telegraph that's in the works.

Thu, 07/10/2014 - 13:49 | 4944157 SMG
SMG's picture

By all means set the example starting with yourself.

PS.  Don't really do that, but you see my point.

Thu, 07/10/2014 - 11:34 | 4943458 Doña K
Doña K's picture

Wait a minute! Who is gonna buy ipads, itoys and blue Jeans and who is going to drink coke?

Thu, 07/10/2014 - 12:23 | 4943694 Ferrari
Ferrari's picture

The swine calling the shots are probably as appalled by hyper consumerism as any of us, and are as eager to see it end.

Thu, 07/10/2014 - 11:41 | 4943482 Kirk2NCC1701
Kirk2NCC1701's picture

Except that they can't and won't do it with conventional weapons or even nukes, as the aftermath would be too devastating to structures and the environment, and not what they want to inherit.  They just want to get rid of people and people alone.  The Bottom 90-95% of the foodchain.  Selectively.

No, they will most CERTAINLY use what so many movies and TV shows have foreshadowed for years: With Bio-Weapons.  Cheap, fast, effective.  Especially if only the Chosen Ones get the antidote. 

If/when such a deliberate event takes place, they will blame it on whatever scapegoats-de-jour (that they themselves trained, funded, sponsored via layers of cutouts -- a la ISIS), declare martial law, etc, etc.

Thu, 07/10/2014 - 11:13 | 4943350 jcpicks
jcpicks's picture

Are Obama & Kerry hell-bent on making the U.S. look even more foolish in the eyes of the world?

Forget ABC, NBC, CBS and Fox.  Watch BBC, RAI, NHK and the other International networks....they are LAUGHING at us right now.

Thu, 07/10/2014 - 10:43 | 4943191 therevolutionwas
therevolutionwas's picture

And, He who has asshole for mouth has shit for brains? Aso!

Thu, 07/10/2014 - 10:34 | 4943167 nowhereman
nowhereman's picture

I beg to differ,  The USA started it.  Russia stood up to it, and China is doing the same.  Having witnessed the Russian courage in the face of US hegemony, many other nations are looking to do the same, starting with the BRICS.

Thu, 07/10/2014 - 10:40 | 4943181 NoDebt
NoDebt's picture

They all smell the weakness, even oceans away.

"That's why I say hey, man, nice shot."

Thu, 07/10/2014 - 10:50 | 4943228 TeamDepends
TeamDepends's picture

Me-he-co and Guatemala make it official:  We are sending you our trash!!!!http://dcgazette.com/act-of-war-on-america-mexico-and-guatemala-sign-agr...

Thu, 07/10/2014 - 10:43 | 4943193 rubiconsolutions
rubiconsolutions's picture

The definition of irony: reading a story on a website about the dangers of war and having a large widget on the sidebar that is bought and paid for by Boeing....something about "Protect the Growler".

The only growler I want to protect is the one I take to my local brewpub to top off with their excellent beer. 

Thu, 07/10/2014 - 10:49 | 4943223 Carpenter1
Carpenter1's picture

China doesn't need any carriers if the US is kind enough to fight them within sight of China's missile launches.

Thu, 07/10/2014 - 16:01 | 4944730 mkkby
mkkby's picture

Don't bring a carrier (knife) to a submarine (gun) fight.

Thu, 07/10/2014 - 13:10 | 4943982 Horseless Headsman
Horseless Headsman's picture

"Just when we thought US foreign policy couldn't sink to new lows"...

WTF?? They are still in charge, aren't they? There's no bottom in this particular barrel.

Thu, 07/10/2014 - 14:09 | 4944251 mc225
mc225's picture

missiles will cause navies to either a) stand off or b) get hit

Sat, 07/12/2014 - 14:12 | 4950213 IHaveNothingLef...
IHaveNothingLeftButAnger's picture

stationary carrier....real good strategy there.....

Thu, 07/10/2014 - 10:27 | 4943138 _ConanTheLibert...
_ConanTheLibertarian_'s picture

Dear US, would you please collapse NOW! Thanks.

Thu, 07/10/2014 - 10:30 | 4943149 Smegley Wanxalot
Smegley Wanxalot's picture

Not now, please.  I need a bit more time to GTFO of this dictatorial shithole with my crap.

Thu, 07/10/2014 - 10:39 | 4943178 p00k1e
p00k1e's picture

Where you headed? 

Thu, 07/10/2014 - 12:15 | 4943656 Mesquite
Mesquite's picture

One option (of many)..

http://www.restartchile.com/

Thu, 07/10/2014 - 10:43 | 4943196 MansaMusa
MansaMusa's picture

Me too!  Give me till year end to be an expat, then proceed to implode!

Thu, 07/10/2014 - 10:50 | 4943231 eurogold
eurogold's picture

Does Obama even have control over the Military ? Oh, I didn't think so.

Thu, 07/10/2014 - 11:42 | 4943509 WeNeedaRealGovt
WeNeedaRealGovt's picture

Fair-weather patriot.  That about sums up GOP Tea Shitheads

Thu, 07/10/2014 - 12:05 | 4943607 p00k1e
p00k1e's picture

Go to your county clerk’s office.  Print the list of registered Republicans in your area.  When the lights go out, hunt. 

Thu, 07/10/2014 - 22:02 | 4945991 WeNeedaRealGovt
WeNeedaRealGovt's picture

I live in a blue state that pays the freight for your trailer trash GOP managed Red state hellhole.  No wonder you people are sooooo stupid.  Lost cause.

Thu, 07/10/2014 - 12:12 | 4943647 Bananamerican
Bananamerican's picture

Shitheads.
That about sums up ZH troll shitheads

Thu, 07/10/2014 - 10:26 | 4943143 HardAssets
HardAssets's picture

Ya know . . . . its almost as though someone wants to start World War 3.

Thu, 07/10/2014 - 10:29 | 4943152 COSMOS
COSMOS's picture

Its a matter of economy, once USA loses the reserve status for the dollar, our economy will deflate compared the the Chinese.  It is then that the Chinese will bury us with their manufacturing might.  We cannot compete with them in the manufacture of weapon systems and will be even more uncompetitive once we are neutered.

Thu, 07/10/2014 - 10:35 | 4943168 Dr. Engali
Dr. Engali's picture

This^^^^^

Thu, 07/10/2014 - 12:38 | 4943738 ParkAveFlasher
ParkAveFlasher's picture

Why would China "bury" its number one consumer, when it's doing just fine flooding it?  Let's not get carried away.

Thu, 07/10/2014 - 10:39 | 4943176 therevolutionwas
therevolutionwas's picture

"It is then that the Chinese will bury us with their manufacturing might".  At first I pictured myself buried in cheap Wall-Mart type plastic crap when reading that.  But you are absolutely correct.  Our economy will collapse and hopefully the power of the corrupt DC along with it. 

Thu, 07/10/2014 - 10:48 | 4943220 Snoopy the Economist
Snoopy the Economist's picture

Nah...never let a crisis go to waste...

Thu, 07/10/2014 - 11:14 | 4943355 zerocash
zerocash's picture

Actually China is very capable of producing high quality goods, it's just that their western clients insist on everything being as cheap and crap as possible. So they can sell more to the undiscerning sheeple.

Thu, 07/10/2014 - 11:20 | 4943389 ThirteenthFloor
ThirteenthFloor's picture

Zerocash.....100% on target.  I work for a large computer company...its called tree trimming...'what will the buyer not miss'.  The Chinese follow a "Master Key System"....copy the Master as close as possible, then become the Master.

Thu, 07/10/2014 - 12:19 | 4943678 Bananamerican
Bananamerican's picture

The Chinese follow a "Master Key System"....copy the Master as close as possible, then become the Master.

How Robotronic of them.
"Man who emulate pinhead, have prick for brains"- Confewshush

Thu, 07/10/2014 - 13:38 | 4944108 Dublinmick
Dublinmick's picture

I am soft with you as nothing is softer than water but none can withstand the raging floodtide .... Mai Lau :)

Thu, 07/10/2014 - 12:19 | 4943672 Doña K
Doña K's picture

I once tried to negotiate manufacturing orders for a friend (he no speak it to English werr) with the Chinese trade offices. As soon as I started talking pricing, they cut me off and they said: Tell us what you want and how much you are willing to pay per item and how many containers you can guarantee.

Which means that they will adjust quality based on your desired price and the quantities.

So then yes! They can do whatever you want in whatever quality you want. 

Thu, 07/10/2014 - 12:43 | 4943800 ParkAveFlasher
ParkAveFlasher's picture

+1.  They sell at a price and a regulatory level that wouldn't be permitted in the States.  The products may come out as legal for their target market, but the raw material and manufacturing methods (that drive cost) would not be.  That is "the key".   

Anyone can backwards-engineer ANYTHING.  That is NOT "the key".  "The key" is to do it cutting as many regulatory corners as possible.  I'm no enemy of regulation per se, I'm just observing.

Thu, 07/10/2014 - 10:40 | 4943180 BobTheSlob
BobTheSlob's picture

" We cannot compete with them in the manufacture of weapon systems..."

Sorry, dead wrong on that one. We outstrip them in the technology arena. What we can't compete with is these lunkheads throwing metal (steel) at the problem.

Thu, 07/10/2014 - 10:45 | 4943201 rtalcott
rtalcott's picture

True now but how much longer?

Thu, 07/10/2014 - 10:49 | 4943225 BobTheSlob
BobTheSlob's picture

For a very long time. Or until Chinese espionage becomes more effective...whichever comes first!

Thu, 07/10/2014 - 10:51 | 4943240 rtalcott
rtalcott's picture

Really?  I don't think so...but we will see.  I see inside the MIC and in general I am not impressed...DOD, DOE, big MIC companies....they are seriously slipping.

Thu, 07/10/2014 - 10:47 | 4943217 NoDebt
NoDebt's picture

For now, Bob. Their strategy is to leap-frog us into space, militarily.  You might have noticed we've given up on new space programs.  China has been expanding theirs.

They'll never catch us from behind on "tranditional" weapons systems like aircraft carriers, stealth jets, etc.  But what they can do is make some of that stuff obsolete (eventually) by expoiting the advantages of space-based weapons and surveillance systems.

 

Thu, 07/10/2014 - 10:51 | 4943237 BobTheSlob
BobTheSlob's picture

No worries, I completely get it. We can play these games....for now. And when we can't anymore, just remember that Mao murdered 70 million of his citizens to get his way...that's who we are dealing with.

Thu, 07/10/2014 - 11:22 | 4943396 loonyleft
loonyleft's picture

Holy fuck. Mao's still alive? that's one tough SOB.

 

Thu, 07/10/2014 - 11:39 | 4943492 bbq on whitehou...
bbq on whitehouse lawn's picture

If message and dogma are tough to kill.

Thu, 07/10/2014 - 12:19 | 4943674 Ignorance is bliss
Ignorance is bliss's picture

I think you overestimate the U.S. ability to project power. We could not even secure Iraq or Afghanistan. Those much daunted weapon systems rely on fuel, maintenance, and huge military budgets. Most of the production of these systems are global in nature. Parts come from all over the world. We can't even keep all of the carriers operational. A war that lasts for months or even years requires parts and lots of fuel. Our weapon systems make short work of 3rd world militaries and are great for TV, but against a real foe it becomes a war of attrition and logistics. How do you think our over deployed over stretched military would do in a long drawn out high tech high cost war against a manufacturing super giant like China fueled by Russia. It won't just be China that goes to war against the U.S. Russia would be right next to her. Who knows where Germany and the rest of Europe would be. My guess is they would be neutral.

Thu, 07/10/2014 - 12:50 | 4943863 SilverRhino
SilverRhino's picture

It's not a question of the ABILITY to project power and destroy enemies. 

It's a question of WILL in the face of extreme political correctness and a huge fifth column movement inside the United States that makes me wonder how the fuck we're still standing.  

 

Thu, 07/10/2014 - 13:06 | 4943962 Herd Redirectio...
Herd Redirection Committee's picture

That war would become about oil VERY quickly.

Armchair generals think strategy.

Generals in the field think logistics.

Thu, 07/10/2014 - 16:13 | 4944789 mkkby
mkkby's picture

They'll never catch us from behind on "tranditional" weapons systems like aircraft carriers, stealth jets, etc.

They will catch up.  Our last two fighter jets have been obscenely expensive and not up to spec.  Which means we've hit the wall of diminishing returns.  Those aging F-15 thru 18s will eventually have equals.

Thu, 07/10/2014 - 10:52 | 4943244 NotApplicable
NotApplicable's picture

Got Chips?

Thu, 07/10/2014 - 10:54 | 4943252 MayIMommaDogFac...
MayIMommaDogFace2theBananaPatch's picture

We have the F-35!  That will show them!  </sarc>

Thu, 07/10/2014 - 11:36 | 4943475 ThirteenthFloor
ThirteenthFloor's picture

Bob...a few months ago two Russian fighters circled the USS Donald Cook, 12 times, then tipped their wingtip to say F'u and went on their merry way.  The USS Donald Cook, informed the Penta boys, we couldn't engage systems since computer systems jammed.  Penta boys informed WH.   Again who has the better technology ?  I believe a war with China would engage Russia and all of her 12 time zones...

Someone needs to tell the WH..."attempted suicide is proof you are no longer fit for command, and I relieve you on that basis".

 

Thu, 07/10/2014 - 11:50 | 4943536 Dublinmick
Dublinmick's picture

They fly right over the deck 12 times at supersonic speed. That would be ear splitting for all on board. The ship went back into Romanian port to figure out what was wrong. There are reports out there some of the crew wanted to resign.

Thu, 07/10/2014 - 10:41 | 4943183 Charles Wilson
Charles Wilson's picture

HardAssets-

 

WW1 was supposed to be such a nice LITTLE affair.

This time around, there is so much DEBT that another LITTLE Affair is desired so that the Debt may be repudiated.

"How can we have such a little War so we can write off the Debt without consequence?"

 

Nah...It's Bombs Away time.  "Blow'em to Shit as long as I can have my Stuff" isn't gonna get it.  The Old Idea was that I could get into the Club and you couldn't.  Now, everybody is fighting for for the last Life Preserver.

They stopped making those things a few years ago.

 

Stand by for ACTION!

Thu, 07/10/2014 - 10:52 | 4943243 Save_America1st
Save_America1st's picture

Not only do the powers that be want a big fucking war to wipe out the quadrillions in debt, but they also want to wipe out 90% of the sheeple population and start things over again. 

I sure hope I have enough Mt. House chili mac and creamed beef stored up to make it throug the "tough times" ahead.  ;-)

Thu, 07/10/2014 - 11:51 | 4943541 Dublinmick
Dublinmick's picture

Have plenty of Heinz ketchup on hand.

Thu, 07/10/2014 - 17:21 | 4944985 asiafinancenews
asiafinancenews's picture

"...so that the Debt may be repudiated."

Well, why not.  It worked for China when the PRC repudiated an estimated $4 Trn of China's full faith and credit sovereign debt held by foreign creditors, thereby shedding China's entire foreign debt obligation:

http://www.scribd.com/doc/210715422/Summary-Brief-of-the-Known-Actions-of-the-United-States-Government-in-re-the-Chinese-Government-s-Defaulted-Sovereign-Bonds

 

Thu, 07/10/2014 - 10:42 | 4943188 Reaper
Reaper's picture

WW II was won by the US manufacturing might.

Thu, 07/10/2014 - 10:48 | 4943211 rtalcott
rtalcott's picture

The Soviets manufactured as much as we did...and probably more tanks and aircraft....and much of their hardware was better...the T-34 and the multiple launch rocket system (Stalin's Organ)

WWII was won because Adolf attacked the USSR.

Thu, 07/10/2014 - 10:54 | 4943250 NotApplicable
NotApplicable's picture

WWII was won because Adolf was setup to fail by Wall St. (with the USSR being a big part of that).

 

Thu, 07/10/2014 - 11:16 | 4943366 Reaper
Reaper's picture

There was also the War in the Pacific.

Thu, 07/10/2014 - 12:37 | 4943759 ParkAveFlasher
ParkAveFlasher's picture

Don't talk sense; we're having another "moment" on ZH.

Thu, 07/10/2014 - 16:30 | 4944838 TheObsoleteMan
TheObsoleteMan's picture

You are a poor history student. Without Lend-Lease, Soviet infrantrymen would not have been mobile , they would have had to march EVERYWHERE they went. Dodge trucks won the eastern front.

Thu, 07/10/2014 - 10:57 | 4943270 ThirteenthFloor
ThirteenthFloor's picture

Chinese also have more tools, 1) They started two new exchange mechanisms LAST week for Yuan exchange, in London and Frankfurt.  2) They can stop paying Western banks on loans made in 90's to build there infrastructure and US real estate purchased (they own about 30% of Manhattan).

Clearly they are positioning against USD, and the US can only must military response...what else ?

Thu, 07/10/2014 - 12:02 | 4943592 tallystick
tallystick's picture

 Cut off trade and China runs out of oil, food and water before USA needs more Chinese manufactured goods.

Thu, 07/10/2014 - 12:26 | 4943707 Ignorance is bliss
Ignorance is bliss's picture

China has agricutural agreements all over South America, Africa, Ukraine, and Russia. They have petrol agreements with Iran, parts of Africa, and Russia. The Chinese are already cutting off tade with U.S. high tech firms. If we asked the world to choose betwn. China and the U.S. I'd be very afraid of their answer.

Thu, 07/10/2014 - 12:53 | 4943882 SilverRhino
SilverRhino's picture

And a blockade could drop China to it's knees in a month.

Thu, 07/10/2014 - 13:03 | 4943944 COSMOS
COSMOS's picture

They have 70 submarines and anti ship missiles.  Not to mention a bunch of their energy comes over by land from Russian and Kazakhstan, how are you going to block them on land.  They can blockade us just as easily via Iran and the Straits.  They are more connected to the world via land than we are.  We are the lonely duck in the pond.

Thu, 07/10/2014 - 13:51 | 4944165 Dublinmick
Dublinmick's picture

It would drop walmart to it's knees in six days. 

Thu, 07/10/2014 - 14:45 | 4944419 ThirteenthFloor
ThirteenthFloor's picture

LOL...and their shoppers.  You're probably good at chess.

Thu, 07/10/2014 - 13:18 | 4944025 acommenter
acommenter's picture

Once USA loses the reserve status of the dollar, your economy will deflate compared to the Chinese.  But your manufacturing industry will become competitive again because of the relative downfall of the dollar (keep in mind that most of the currencies will plummet as well). It's the banking sector and the various hedge funds who will become obsolete.

Thu, 07/10/2014 - 11:02 | 4943287 ThirteenthFloor
ThirteenthFloor's picture

This^^^^  

When the game is lost and 'hope is gone' (no pun intended) knock over the tables.  Time to collect more Gold and Silver chips.

Thu, 07/10/2014 - 12:21 | 4943667 Mesquite
Mesquite's picture

Ya know . . . . its almost as though someone wants to start World War 3.

 

Ya think..??

Albert Pike 1871

Thu, 07/10/2014 - 10:30 | 4943145 Smegley Wanxalot
Smegley Wanxalot's picture

Global disaster is clearly good for american GDP.

Thu, 07/10/2014 - 10:32 | 4943165 therevolutionwas
therevolutionwas's picture

Yup.  Governmental Developed Products that blow things up.

Thu, 07/10/2014 - 10:28 | 4943146 Dr. Engali
Dr. Engali's picture

Just what we need. How in the fuck can the south China sea be declared a U.S national interest? The hubris of this country holds no bounds.

Thu, 07/10/2014 - 10:34 | 4943160 ThirteenthFloor
ThirteenthFloor's picture

The US military has been used to protect the trans-atlantic interests (Westphalia banking system) before.

There is a substantial Gold Storage in the Phillipines belonging to Brit Monarchy.  And is ideal for blockades, since almost everything made in the world is from Asia and Germany.

When you discover sancttions no longer work, colored revolutions block goods shipments next.  I think this may be a sign things in the London Banking world is starting to fraction, not crumble but fracture.

 

Thu, 07/10/2014 - 10:54 | 4943256 Save_America1st
Save_America1st's picture

Isn't Taiwan also loaded down with mass tonnage of old Chinese gold as well?  Didn't Chiang Kai-shek steal it all before Mao and the Commies took over and hid it underground in Taiwan? 

Thu, 07/10/2014 - 11:04 | 4943300 ThirteenthFloor
ThirteenthFloor's picture

Yes ^^^^^

Fri, 07/11/2014 - 00:31 | 4946306 Tompooz
Tompooz's picture

That old Imperial gold was flown to the US (for "safekeeping") in exchange for 50 and 60 year treasury bonds. These bonds are now due and declared "fake".

Thu, 07/10/2014 - 11:00 | 4943278 SofaPapa
SofaPapa's picture

There is one reason that this will not work.  Not to sound too idealistic, but sometimes ideals and practical matters do in fact intersect.

The US people do not want control of what is in China's backyard.  The US people do not want control of what is in Russia's backyard.

This is a game the elites are playing, but in the end, if it came to the moment of actually saying: "put up or shut up", the US government does not have remotely the popular support to back any of the adventures they are engaging in.  They honestly believe dominating the world is the role of the US ever since WWII, for the world's own good (although of course in truth their own).  Because in WWII, the US population believed the story that the imperial powers of Japan and the fascist powers of Europe posed a real threat to the US, the current elite still thinks the population holds that belief.

But no one in the US today believes that Russia or China poses an existential military threat.  In the absence of that threat, no one believes in the necessity of going and doing what these morons are doing.  And because they don't believe the background story, it is really easy for the population to see that this is a small group of men using their influence to steal from them to fund these adventures.  For that reason, the US will either fade (the British or Soviet models) or supernova (WWIII would not be as kind to the US as WWII was) back out of the primary role they played for about half a century.

Pax Americana is over.  And the leadership of the US needs to figure that out pronto.

Thu, 07/10/2014 - 12:41 | 4943789 Mesquite
Mesquite's picture

Re: Pax Americana is over..

Enter all the False Flags... 

Thu, 07/10/2014 - 10:28 | 4943147 ThirteenthFloor
ThirteenthFloor's picture

One day the US Navy will stop to get fuel, the station will say..."your credit card has been declined".  War is expensive and the US is broke.

Thu, 07/10/2014 - 10:31 | 4943163 COSMOS
COSMOS's picture

So true, imagine if that happened when you went to the gas station on an empty tank.  You would be screwed, you couldnt get anywhere.  Same thing with these ships, you dont have to sink them, you just have to screw their credit cards used to buy gas.

Thu, 07/10/2014 - 11:06 | 4943318 therevolutionwas
therevolutionwas's picture

I read somewhere the Navy has developed a way to make seawater into fuel.

Thu, 07/10/2014 - 12:47 | 4943835 ParkAveFlasher
ParkAveFlasher's picture

The important boats are nuclear.

Thu, 07/10/2014 - 12:52 | 4943876 New_Meat
New_Meat's picture

the gray boats that protect the important boats, plus the GU-11s and B1rds, aren't.

Thu, 07/10/2014 - 13:05 | 4943957 COSMOS
COSMOS's picture

But not their support vessels.  That nuclear aircraft carrier would be awfully lonely if the support ships ran out of gas.  Not to mention the planes dont run on nuclear power lol.

Thu, 07/10/2014 - 14:44 | 4944170 ParkAveFlasher
ParkAveFlasher's picture

I'm sure local supply lines weren't considered when each of the hundreds of American bases around the world were planned and constructed. I'm also quite sure that normally the American mercenary machine isn't ever financed by uber-wealthy non-American interests (including factionalized Chinese interests within or without the official Chinese government).

The empire will decay, and fracture, before it implodes, or explodes, or is vanquished in combat.

Thu, 07/10/2014 - 10:51 | 4943245 MeMongo
MeMongo's picture

When they tell team US that shit expect the next "logical" move to be complete deployment of said ships cruise missles, as we then disposses said petro and move on with our ole jolly roger a flyin!

Thu, 07/10/2014 - 10:30 | 4943153 skins1
skins1's picture

Obama really has done a great job.  

Thu, 07/10/2014 - 10:36 | 4943170 djsmps
djsmps's picture

He hasn't been told about this yet.

Thu, 07/10/2014 - 10:41 | 4943184 skins1
skins1's picture

You think he will read it on zerohedge?

Thu, 07/10/2014 - 10:50 | 4943235 Bollixed
Bollixed's picture

He only reads his teleprompter.

Thu, 07/10/2014 - 10:51 | 4943242 IndianaJohn
IndianaJohn's picture

skins1, -- when did you see a negro reading?

Thu, 07/10/2014 - 10:43 | 4943194 Mr Pink
Mr Pink's picture

You don't honestly think that closet homo, mom jean wearing, 40 handicapper, SSN stealing, Kenyan with the fake tranny wife has any say in this do you?

Thu, 07/10/2014 - 10:56 | 4943253 MeMongo
MeMongo's picture

Damn! But what do you really think of the guy? Don't hold back this time:-)

Thu, 07/10/2014 - 11:02 | 4943293 BobTheSlob
BobTheSlob's picture

Obama's "SAY":

FORE!

Thu, 07/10/2014 - 10:30 | 4943155 buzzsaw99
buzzsaw99's picture

I'll pay you two dollars to fight me!

dag, get ready to tumble...

the usa would love to mix it up on the high seas. we will still let them make our shit for us though. get back to work bitchez.

Thu, 07/10/2014 - 10:30 | 4943159 Dull Care
Dull Care's picture

We deserve it. We absolutely deserve to be mocked and kicked around.

Thu, 07/10/2014 - 10:45 | 4943192 johngerard
johngerard's picture

You don't deserve it, but the staggeringly inept pricks in The White House and environs, do...

The way these people are conducting themselves, both domestically and internationally, simply beggars belief. Nobody cares what the US says or thinks anymore - nobody, anywhere. So in that sense, you could say it's 'mission accomplished' for Barry, because that's precisely what he wanted to happen in the first place.

 

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