The Realities of the Trade War With China –
American negotiators are trying to convince the Chinese to make changes to their system, particularly in the ability of their government to extract technology and intellectual property from our business sector. But does China really want to make changes to their system? Will they adapt to a Western-led financial and trade system, one that in their eyes took the world to the brink of depression with the 2008 financial crisis? Their alternative is ‘authoritarian capitalism’ (a term coined by Wall Street Journal columnist Gerald Seib) which they believe is the better model for them and others to follow. It will not be easy for U.S. negotiators to extract systemic concessions from China.