Monday, 4 August 2025

THE REAL REASON THE WEST IS WARMONGERING AGAINST CHINA

 https://x.com/NuryVittachi/status/1952164818456334643

THE REAL REASON THE WEST IS WARMONGERING AGAINST CHINA by Jason Hickel and Dylan Sullivan Al Jazeera, 3 August 2025 . OVER THE PAST TWO DECADES, the posture of the United States towards China has evolved from economic cooperation to outright antagonism. US media outlets and politicians have engaged in persistent anti-China rhetoric, while the US government has imposed trade restrictions and sanctions on China and pursued military build-up close to Chinese territory. Washington wants people to believe that China poses a threat. China’s rise indeed threatens US interests, but not in the way the US political elite seeks to frame it. . WEALTH RETENTION The US relationship with China needs to be understood in the context of the capitalist world system. Capital accumulation in the core states, often glossed as the “Global North”, depends on cheap labour and cheap resources from the periphery and semi-periphery, the so-called “Global South”. This arrangement is crucial to ensuring high profits for the multinational firms that dominate global supply chains... But over the past two decades, wages in China have increased quite dramatically. Around 2005, the manufacturing labour cost per hour in China was lower than in India, less than $1 per hour. In the years since, China’s hourly labour costs have increased to more than $8 per hour, while India’s are now only about $2 per hour. Indeed, wages in China are now higher than in every other developing country in Asia. This is a major historical development. This has happened for several key reasons. For one, surplus labour in China has been increasingly absorbed into the wage-labour economy, which has amplified workers’ bargaining power. At the same time, the current leadership of President Xi Jinping has expanded the role of the state in China’s economy, strengthening public provisioning systems – including public healthcare and public housing – that have further improved the position of workers. These are positive changes for China – and specifically for Chinese workers – but they pose a severe problem for Western capital. Higher wages in China impose a constraint on the profits of Western firms that operate there or that depend on Chinese manufacturing for intermediate parts and other key inputs. . CONSTANT THREAT OF MILITARY ESCALATION The other problem, for the core states, is that the increase in China’s wages and prices is reducing its exposure to unequal exchange. During the low-wage era of the 1990s, China’s export-to-import ratio with the core was extremely high. In other words, China had to export very large quantities of goods in order to obtain necessary imports. Today, this ratio is much lower, representing a dramatic improvement in China’s terms of trade, substantially reducing the core’s ability to appropriate value from China. Given all this, capitalists in the core states are now desperate to do something to restore their access to cheap labour and resources. One option – increasingly promoted by the Western business press – is to relocate industrial production to other parts of Asia where wages are cheaper. But this is costly in terms of lost production, the need to find new staff, and other supply chain disruptions. The other option is to force Chinese wages back down. Hence, the attempts by the United States to undermine the Chinese government and destabilise the Chinese economy – including through economic warfare and the constant threat of military escalation... . UNPRECEDENTED TECH ADVANCES The second element that’s driving US hostility towards China is technology. Beijing has used industrial policy to prioritise technological development in strategic sectors over the past decade, and has achieved remarkable progress. It now has the world’s largest high-speed rail network, manufactures its own commercial aircraft, leads the world on renewable energy technology and electric vehicles, and enjoys advanced medical technology, smartphone technology, microchip production, artificial intelligence, etc. The tech news coming out of China has been dizzying. These are achievements that we only expect from high-income countries, and China is doing it with almost 80 percent less GDP per capita than the average “advanced economy”. It is unprecedented. This poses a problem for the core states because one of the main pillars of the imperial arrangement is that they need to maintain a monopoly over necessary technologies like capital goods, medicines, computers, aircraft and so on. This forces the “Global South” into a position of dependency, so they are forced to export large quantities of their cheapened resources in order to obtain these necessary technologies. This is what sustains the core’s net-appropriation through unequal exchange. . ALTERNATIVE TO WESTERN IMPERIALISM China’s technological development is now breaking Western monopolies, and may give other developing countries alternative suppliers for necessary goods at more affordable prices. This poses a fundamental challenge to the imperial arrangement and unequal exchange. The US has responded by imposing sanctions designed to cripple China’s technological development. So far, this has not worked; if anything, it has increased incentives for China to develop sovereign technological capacities. With this weapon mostly neutralised, the US wants to resort to warmongering, the main objective of which would be to destroy China’s industrial base, and divert China’s investment capital and productive capacities towards defence. . WHY THE U.S. WANTS WAR ON CHINA The US wants to go to war with China not because China poses some kind of military threat to the American people, but because Chinese development undermines the interests of imperial capital. Western claims about China posing some kind of military threat are pure propaganda. The material facts tell a fundamentally different story. In fact, China’s military spending per capita is less than the global average, and 1/10th that of the US alone. Yes, China has a big population, but even in absolute terms, the US-aligned military bloc spends over seven times more on military power than China does. The US controls eight nuclear weapons for every one that China has. . FALSE NARRATIVE OF ‘CHINA THREAT’ China may have the power to prevent the US from imposing its will on it, but it does not have the power to impose its will on the rest of the world in the way that the core states do. The narrative that China poses some kind of military threat is wildly overblown. In fact, the opposite is true. The US has hundreds of military bases and facilities around the world. A significant number of them are stationed near China – in Japan and South Korea. By contrast, China has only one foreign military base, in Djibouti, and zero military bases near US borders. Furthermore, China has not fired a single bullet in international warfare in over 40 years, while during this time the US has invaded, bombed or carried out regime-change operations in over a dozen Global South countries. If there is any state that poses a known threat to world peace and security, it is the US. The real reason for Western warmongering is because China is achieving sovereign development and this is undermining the imperial arrangement on which Western capital accumulation depends. The West will not let global economic power slip from its hands so easily. . . . [This is an extract from a report published in Al Jazeera on 3 August 2025. Link to full text attached. Professor Jason Hickel is considered one of the most insightful economists in the UK today. Dylan Sullivan is a notable social scientist from Australian academia.]

https://x.com/NuryVittachi/status/1952164818456334643

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