With an exponential rise in cases to 8 million infections and 0.5 million deaths, coupled with crippled economies and countless job losses, a global backlash has begun against China.
Americans think they are judge, jury, and executioner of other countries’ internal business... Any way you look at it, it’s a good time for the U.S. to sell.
The bottom line is that reserve currencies come and go. The status of the U.S. dollar as the world’s No. 1 currency is not carved in stone, even if Washington might think that.
To deflect attention from criticism about the sluggish domestic economy, Trump has again lashed out against China.
The challenge for India will be to continue its present soft balancing against China without being drawn into a U.S. containment policy which, it is unclear, Washington has either the will or the way to impose.
In the face of the coronavirus pandemic and economic hardships, Trump will inevitably play the populism card.
China and Taiwan exemplify opposing belief systems and these have completely different consequences. China’s diminishing role in globalization is becoming a matter of fact – and it’s not before time.
In war there will always be victors, but in this case it’s the victory itself that’s important. And, whether their governments like it or not, China and the U.S. are on the same side.