The Alternative to Tariffs- Learn to Speak Chinese

Do you believe “the alternative to tariffs is to learn Chinese” is a non-sequitur or a hyperbolic attention-grabbing headline? Or do you believe that President Trump is more interested in catering to billionaires than in making life better for a majority of Americans? FYI- Such beliefs are wrong. Dead wrong.

China, specifically the Chinese Communist Party, (CCP) isn’t in a tariff war with the United States. It is, and has been waging an economic war to win control of the United States. And it is using American dollars to fund it. Virtually every business in China is controlled by the CCP which receives the profits on products sold to the United States.

Many people enjoy a better lifestyle made possible by the availability of low-cost products manufactured in China- products they would otherwise be unable to afford. However, if the multi-billion-dollar trade imbalance isn’t significantly reduced, they haven’t actually paid for those products in full. They have simply made a down payment. The balance will come due when the US economy collapses under the weight of an unsustainable trade imbalance and national debt.

The CCP isn’t playing the economic equivalent of checkers. It’s playing an economic game of chess with the ultimate goal of checkmating the US economy, military and subjugating the United States to Chinese control.

Consider the reason for antimonopoly legislation- when a company manages to eliminate competition, they have the unfettered ability to control price. Directly, domestic antimonopoly laws have nothing to do with tariffs, but metaphorically, they have everything. American companies source products and materials from China because of their low cost. This practice has resulted in the United States companies abandoning the capability to produce a variety of goods that are essential for their businesses. The end result is that when (not if) the CCP decides to raise prices because it has monopolized the market for a host of finished products and raw materials, American companies will have no alternative but to pay higher prices, which in turn will increase the trade imbalance and provide the CCP with additional funding for its economic war with the United States.

China doesn’t only export directly to the United States, it also actively moves product through other countries in an attempt to mask the extent of its exports. The CCP also engages in other activities that indicate its chief goal is far more nefarious than an effort to capture market share. CCP-controlled entities have also purchased US food companies and farmland, and it has expanded its presence in Panama, specifically to exert more control over shipping through the Panama Canal.

According to the US Census Bureau, in 2024 China exported $438.9 billion to the US and the US exported $145.5 billion to China resulting in a trade deficit of $295.4 billion. Since 2020, the trade deficit has ranged from $279 billion to $382 billion, resulting in a five-ear deficit totaling $1.6 trillion.

For the United States, that is neither healthy nor sustainable. For the CCP, it’s an extremely useful tool in its effort to control the US economy and thus the entire country.

On another front, for the better part of a decade, the CCP has incentivised the production of the precursors and analogues used to manufacture fentanyl. According to an April, 2024 report by NPR, U.S. House committee investigators detailed, “what they describe as new evidence the Chinese government is continuing to ‘directly’ subsidize ‘the manufacturing and export of illicit fentanyl.’

“According to the report, Chinese officials encourage production of precursor chemicals by giving ‘monetary grants and awards to companies openly trafficking illicit fentanyl materials.’ "

Clearly, the CCP is facilitating the production and export of compounds that lead to the deaths and injury of thousands of Americans. Although many deaths are a consequence of people choosing to consume illegal drugs, fentanyl also kills people who unknowingly ingest it. Keep in mind the CCP is the same government that has people killed so their organs can be harvested and sold.

In the short term, living with the consequences of the new tariffs will be economically painful for many Americans. In the long run, they will stabilize the US economy and create opportunities for other countries to export to the United States.

The CCP’s immediate response to increased tariffs was to strike back with increased tariffs on American products exported to China. Such a move is counter-productive to the CCP’s end goal as profits from exports are a major source of revenue. Ultimately, other countries will step in and replace China as a source of low-cost products and materials.

The ”tariff war” has become an economic version of “playing chicken”. Either China or the US will have to change course or have a head-on collision.

China has opted for a head-on collision.