An Angry Beijing Responds: "We Will Never Dance To Trump's Tune"

Tyler Durden's picture

With just one day to go until the Trump administration launches the first salvo in what could develop into a full-scale trade war between the US and China, there is the issue of a diplomatic (hopefully) resolution of escalating situation in North Korea, one which Citi today said is "increasingly likely" to involve military action. On this issue, China is becoming increasingly displeased with Trump's relentless twitter badgering, and as AFP reports, "Trump-style outbursts are no way to get China to bend to the US's will."

The animosity between D.C. and Beijing has been building up for months, as the two capitals have long traded blame over the failure to rein in the North, but last week's breakthrough in North Korean missile technology has raised the specter of a strike by Pyongyang on American cities, escalating the rhetoric.

"I am very disappointed in China," President Donald Trump tweeted after the North boasted last week that the entire mainland US was within range of its intercontinental ballistic missiles. "Our foolish past leaders have allowed them to make hundreds of billions of dollars a year in trade, yet they do NOTHING for us with North Korea, just talk."

While China - North Korea's main trade partner and ally - has repeatedly countered that it does not hold the key to the crisis and has rejected Trump's attempts to link the issue to the trade relationship, keeping official responses to Trump's 140-character outbursts restrained, state media has been less muted.

"Trump is quite a personality," an opinion piece published Monday by the Xinhua state news agency said. "But emotional venting cannot become a guiding policy for solving the nuclear issue ... and even less should (the US) stab China in the back."

It's not just Trump who has repeatedly urged China to use its economic sway over North Korea to curb the regime's nuclear program, even as Beijing insists dialogue is the only practical way forward. Recently Rex Tillerson derided China and Russia as "economic enablers" that bear "unique and special responsibility" for the growing threat posed by the North. And the US's ambassador to the United Nations, Nikki Haley, spurned a UN response to the latest ICBM launch in favor of bomber flights and missile-defense-system tests, saying the time for talk on North Korea was "over."

Such admonishments will not change the way China operates, analysts say.

"Trump might be brash and have an 'in your face' blunt style, but Beijing's approach to Washington stays relatively the same," Xu Guoqi, a China-US relations expert at the University of Hong Kong, told AFP.

"While Trump tweets his positions to the world, Beijing keeps its cards closer to its chest. (China) will never dance to Trump's tune." And with "today's America weaker and more isolated in the world," China has even less reason to respond, he said.

Meanwhile, Beijing authorities have reacted with caution to Trump's unpredictable remarks, which have ranged from describing the country as a "currency manipulator" to calling President Xi Jinping "a very good man." Relations had warmed following Trump's pledge to honor the key "One China" policy and Xi's visit to Trump's Mar-a-Lago estate in Florida this April, but they have since soured again over North Korea.

Worse, if the US does not ease off against an implacable China, observers believe a deterioration is inevitable. "If the Americans continue to blame China while shifting away from its own obligation to defuse the crisis, the two powers are likely to have more quarrels," said Zhong Zhenming, a China-US relations expert at Shanghai's Tongji University. "(This is) exactly the result Pyongyang hopes to see," he told AFP.

* * *

And while we await for the official announcement of Trump's trade probe into China's intellectual property and trade practices, it already took steps to further antagonize Beijing when in June the US slapped unprecedented sanctions on a Chinese bank accused of laundering North Korean cash after Trump tweeted that China's efforts to curtail North Korea's nuclear program had "not worked out."

Still, some analysts believe Trump would stop short of following through on repeated threats to start a trade war, his main and perhaps last bargaining chip: "Neither China nor America could afford a trade war," Zhong said.

Perhaps, but to the increasingly irrational White House, this may be the only option. An editorial in the state-run Global Times, a nationalistic tabloid, warned that the US would lose in a trade dispute with China, which as the top holder of US Treasury bonds "is actually supporting the dollar."

"Washington had better not threaten China with trade since China has the tools to safeguard its economic interests," it said.

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
HenryKissingerBilderberg's picture

Just nuke D.C

whiy going for the AIPAC minions? why not going for their masters?

froze25's picture

This is what I picture going on in China right now. https://www.youtube.com/watch?v=VEzf9wSiaKE
China has needed Sanctions for a long time now, biggest mistake we made was granting them "Most favored Nation status".

Stuck on Zero's picture

If Trump is smart he will not go for tariffs but will enact non-tariff trade barriers to exactly match Chinas. That will give China no bragging points about free-trade.

MK13's picture

Tuck China!!

China is sitting on world's greatest debt bubble. Slap China with smart tariffs/import taxes and roll that big communist behemoth into depression.

When all commodity pieces are in turmoil, allow US companies to buy up the pieces for cents in shekels.

Then real free trade can start.

BaBaBouy's picture

It Just Looks & Smells like Thump Is Digging himself a Bigger & Bigger Hole ...

thesonandheir's picture

Just get the Treasury to cancel China's T-bills. 

 

Use some old law, Trading with the Enemy or something.

 

That would really put the cat among the pigeons with the Chicoms.

 

Regime change in Beijing?

espirit's picture

Pick something up and look where it's made.

Fucking Kabuki theater is all this is.

Stuck on Zero's picture

If all trade stopped bwtween China and the US ... China would lose 50 million jobs. The U.S. would gain 10 million jobs. Apple, WalMart, Amazon, and Wall Street would tank. The value of labor would once again rule.

Handful of Dust's picture

So where the big picture of hot Chinese babes? Did I click on this story for nothing?

zh is really going downhill!

Winston Churchill's picture

There speaks a non engineer that knows nothing.

The skills required are retired and/or dead.Many secrets of the trades have never been written down,there is no industrial base left

to procure the thousands of things required.Then you'll be playing catchup forever,just like the UK..

SilverRhino's picture

China:  We no kowtow!!  

 

Boubou's picture

The generals will tell him what to do - no problems.

BrownCoat's picture

@ BaBABouy,

Ya mean Oboma was doing just great?!

tmosley's picture

Trade from just ten Chinese companies accounts for 3 of North Korea's $13 billion GDP.

They could end this in a month.

But then, so could we, by bribing said companies to stop doing business with NoKo and do it with us instead.

Déjà view's picture

Wonder if Chicom set up their accounts with Alibaba & ebay...list their $2Tn U.$. IOU'$...FED might bid them @ .10/$...

Not to sharp to overextend credit too that level...

earleflorida's picture

when you finally reach the 'pro's'... as in "ICBM's", you can now negotiate terms on 'your' conditions!

emphasis --- YOUR's

BarkingCat's picture

When you finally figure out how to use the apostrophe correctly, younjyst might make a little sense; maybe.

jimmy12345's picture

US citizens will just pay for the tarriffs.   Free trade is the way to go regardless of the other countries policies.  The real problem is that dumb working class people are too stupid to contribute to the new economy so they complain about trade with foreign nations to blame someone for their low IQs and low status.

Offthebeach's picture

Everyone loves Chinese land courts, property rights, security laws, civil courts.   Why it's one big Switzerland !

Handful of Dust's picture

Trump is helping Kornifornians out and selling that state to the Chinese.

Meanwhile, since the 9th Circus judges love Muzlim immigration so much, Trump is finally bowing to them and giving them their own Sharia law; tonight he will annouce their beheading this weekend. The 9th Cicus should rejoice! Hopefully they will embrace the sharia law they love so much.

I Feel a little Qeasy's picture

Nearly fell off my stool, 'If Trump is smart', ha ha!

The more you sanction, threaten, attack and interfere in other nations, the more you are isolated, and the sooner the dollar loses it's status. Thankfully then it'll be all over for you.

You are nothing but degenerate, criminal filth from 'sea to shining sea'.

GUS100CORRINA's picture

CHINA and RUSSIA ... So we have an exonomic war and political war brewing. 

THE YEAR OF JUBILEE IS SHAPING UP TO BE A REAL DOOZY!

BandGap's picture

You left out Germany. They be big too.

c2nnib2l's picture

why not puting sanctions on China ?

Sanctiona on Russia and EU

and Canada just in case

DEMIZEN's picture

when you are isolating too many, you are the one getting isolated.

ParkAveFlasher's picture

You mean, without liberal American culture, global markets close down and wealth not only doesn't flow, but doesn't spring?  - HOODA THUNKETT

Offthebeach's picture

Yup.

Its what happens when everyone runs on margins.  A few points either way and your 10,000 world class company goes from profit to loss and can't get credit, or your customers can't,  and or suppliers can't carry your note....it all unzips like 2009.

besnook's picture

if the zionazis get blocked by china and russia they will go to war with your blood. china just gave the usa a bronx cheer.

Dr. Engali's picture

It's all just bluster. Both eCONmies are so intertwined that all parties involved know that one can not exist without the other. Not unless they all want it to collapse, which would please the globalists.

Consuelo's picture

 

 

 Indeed that as been the common refrain, no doubt about it - and there are very large elements of truth in there as well.   However...   Antagonistic trade and foreign policy have a way of forcing behaviour modification - even if it means some short-term pain.   Russia has learned this, and China's aggressive (past 8 years) economic/trade policy with other nations is also proof that (major) change is afoot.

besnook's picture

don't forget china is home to most of the nasdaq stocks and all of the djia stocks. one mention of sanctions against the usa and the market will flash crash for real.

Consuelo's picture

 

 

"Our foolish past leaders have allowed them to make hundreds of billions of dollars a year in trade"

Ah yes - we 'allowed' them.   Spoiled brats - we'll show them who rules...!!  

Now cue up that volleyball net cartoon with the gold bars and $USD notes being tossed about...

Boubou's picture

Allowed them !  Allowed them!??. US companies falling over themselves to move production to China and annihilate US manufacturing and make much bucks with no social responsibility at home.  Dems and Repubs both looked on with their hands and tongues out. 

BlindMonkey's picture

Remember when Trump bombed Syria while serving cake to Xi?  Remember all the pro-trump pundits that lauded PDJT for his great breakthrough with China?

 

Yeah.  April seems like the good ole days.  

researchfix's picture

"Remember when Trump bombed Syria while serving cake to Xi?"

That goes into the Chinese "never-to-be-forgotten"-book, where we already have the bombing of the Chinese embassy in Beograd.

lester1's picture

We still have an $18 billion dollar trade SURPLUS with China when it comes to food.

So if the Communist Chinese want to eat, they will sing to President Trumps tune!

besnook's picture

the purpose of that trade is to balance the negative current account the usa has with china. russia could fill that gap within a coupla years if not now.

BrownCoat's picture

@ lester1,

OK, the USSA ain't what it used to be. The classic American values have been drastically eroded and the trend is for the worse. Nevertheless, we're not starving any people!!! America is not like the horrible Communists (who kill and starve their own people). Besides, the Chinese people have even less control over their rulers than those in the USSA. And Americans have almost no control !!!

Stormtrooper's picture

No, we don't need to starve them.  We've got bombs for that.

I Feel a little Qeasy's picture

Half a million dead Iraqi children say you're wrong. Filth.

Omen IV's picture

Russia produces more Non GMO wheat than the USA and soon more wheat in general, USA agriculture is on the way out - too expensive - sugar from Brazil / Cattle from Argentina / lamb from NZ & Australia /weapons from Russia are more reliable and cheaper / machine tools and robots from Germany are the standard for innovation

Mike Masr's picture

All of this sanctions/trade war bullshit pushes China & Russia even closer!

Russian Economy Minister Maxim Oreshkin was quoted as saying by RIA Novosti on Wednesday July 26th. 

He asserted the restrictions cannot inflict substantial damage on Russia. “Our macroeconomic policy is shaped in such a way so that sanctions-related shockwaves coming from outside do not have significant impact on the Russian economy,” he said.

This is because Russia is now economically tied with China and the East. They are implementing a trillion dollar oil and gas deal and building an enormous pipeline system between the two countries. They are also working to do away with the Petrodollar. Russia is the main road for China's new Silk Road Project. Russia and China are additionally working on the circumventing of the US dollar as the world reserve currency and also on an alternative to the international payment system SWIFT.

Russia and China are the founding member states of The Shanghai Cooperation Organization (SCO) an intergovernmental economic and military alliance of mutual security.

When the US deep state gets its real shooting & ICBM war it will be against a Russia-China Axis.

https://www.youtube.com/watch?v=oR670UNhR5U