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Comment by generalmycoup | Hacker News Reader

lol many moronic companies were lured to China 10-20 years ago by '1.4 billion people'.

then they realized they had to give up 50% of company, their IP were stolen, the 1.4 billion customers never came because China's upper middle class income is $1000/month and half the population made $200/month, they had to give up board seats to Chinese officials, they gained some customers in China but lost most of their customers in NA, Europe and Japan because Chinese competitors sponsored by states stole them, they lost sales due to Alibaba, Amazon and Ebay shipped counterfeit products that was copied exactly like their own, directly to customers. And they died.

btw jacquesm did you go to the dark side of dictatorship? why are you openly supporting China?

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> why are you openly supporting China?

I think you have reading comprehension issues if you feel that I'm supporting China.

It helps to actually try to understand something if you want to solve it. That's nothing to do with 'supporting China', but everything to do with analyzing how we got here and what will get us out. Hint: trade wars - either direct or by proxy - and protectionism are not going to get us out.

Japan used to be viewed in much the same way as China is today: cheap counterfeiter of Western designs. Korea ditto. And now, 30 years later they produce stuff on par with what the West was - not is - once capable of. China is also going that route but is substantially larger and far more ruthlessly managed. If we don't wise up and start playing this game a little smarter we will end up losing it in a big way.

fair enough.

I think US is playing the game pretty well. US is threatening to block their huge customer base from China, unless China plays fair, allows 100% ownership from foreigners and opens up their market and stop stealing IP, like they promised when they got into WTO. Via trade wars and protectionism. Not sure what else US can do besides completely stop trading with China.

And remember you're now dealing with a dictator. Dictators are irrational, stupid with economics, and lots of arrogance. They only respond to massive threat, which they did (thus saying they want to reduce tariff on cars)

>And remember you're now dealing with a dictator. Dictators are irrational, stupid with economics, and lots of arrogance.

And you're also dealing with Xi Jinping...

>irrational, stupid with economics, and lots of arrogance. They only respond to massive threat

From an outside perspective (Australia), it seems that the current US president matches this description as well. At this point it may be a good idea for at least one of the leaders involved in this trade war to step back and push for reasonable debate. Unfortunately I don't see either Xi Jinping or Donald Trump doing this, so I'm not sure if I'd agree with "US is playing the game pretty well".

If the US completely stops trading with China it won't be good for either party, and it would probably have negative carry-on effects to most of the global economy. We're in a state of economic brinkmanship, and we don't want to start an economic world-war.

If the US completely stops trading with China there will be riots (in the US). Stores will be empty. The United States actually needs China at this point in time and without cheap Chinese goods satisfying consumer needs there would be a serious problem.

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