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Through a long-term lens, the biggest issue is not the trade deficit nor the technology default.|
It is the trust deficit.
Based on a personal hatred of the China system of government, Bannon has called China an existential threat. Together with Navarro and Pillsbury, they form the triad of influencers encircling Trump and en-walling him from reality, facts, aspirations and visions on the ground and into the future. They ignore what's being done with regards reforms and base their opinions on things of the past that they have chosen to freeze in their minds.
As a small example and as dissected by Harvard's Johnston in his paper, Shaky Foundations: The ‘Intellectual Architecture’ of Trump’s China Policy, Pillsbury willfully manipulated his way through in his arguments with just one prior objective to demonize China without foundation.
It would be comical were it not so tragic that the world's two superpowers clash because someone in the US postulated a prejudiced conclusion based on a deliberately unsupportable misreading of China, and some others jumped onto the racial bandwagon for opportunistic strikes motivated by transient political sentiments which in turn get magnified by their right-wing media with ricochet effects throughout the US government and society.
This is of course not new. There were already rumblings of anti-China sentiments way back with Bolton, Wolfowitz and others during the time of the Bush administration.
And, as the acme of US hypocrisy, its National Security Agency and CIA agency had also colluded to use US internet technologies to surveillance and back-doored into the servers of the world through the US PRISM cyberwarfare program.
This was revealed by Snowden in his Wikileaks, then reported by the US' Washington Post in 2013, then hushed down with laughable re-wordings.
And didn't Obama also instruct the US' AT&T telecom giant not to deal with Huawei?
Elements in the US governments have worked in the background to push towards today's situation of a trust deficit. This in turn will reduce the chance of a mutual settlement of the trade deficit and the technology default issues.
Trump should realize he should not procrastinate to reverse the global tide of his own doing.
Trade is a cooperative venture. Technology is a cooperative venture.
Creating an acrimonious divisive zero-sum competition out of trade and technology will not serve to reduce the trust deficit that has to endure for centuries to come beyond the populist sentiments that wax from day to day, administration to administration, in order to cooperatively build a future for all as human beings not as people labelled by some as this and that owing to their own prejudices.
Seen in that perspective, how can anyone accept being talked down dismissively as an unequal when there is to be talk of an agreement? How can there be an agreement if one bullies the other in order to win?