China has a society that generally understands science and arithmetic.
Since the last time Trump was in office, they’ve given a lot of thought on the best way to respond.
China recently put an embargo on battery shipments to a major US drone manufacturer, cutting a vital weapon supply to the US military. It was a warning shot for what’s to come. There are thousands of companies around the US that China could shut down with a strategic embargo on a vital part or natural resource like a rare mineral.
In the fullness of time, the soon to be abandoned US EV battery plants could be retooled to build the batteries needed. Ford has so much money hanging out there in limbo right now, they would probably jump at the chance to get their investment in the Marshall, MI, plant back with a guaranteed profit DoD contract for batteries.
Steve…wonders if the drone company in question is the one that just put Jr on the Board?
{US company sanctioned by China ‘cries out in pain,’ tearing off American facade: Global Times editorial.
Over 20 days after being sanctioned by Beijing for arms sales to the Taiwan region, Skydio, the largest drone manufacturer in the US, is facing a supply chain crisis. The disruption of battery supplies from its sole battery supplier, a Japanese subsidiary in Dongguan, China, has forced the company to implement rationing for its drone batteries. }
Jr is on the board at Unusual Machines.
{ Unusual Machines says president’s eldest son has ‘wealth of experience’ as ‘globally recognized business leader’. }
China and “Supply Chain Warfare” is not new. Back in 2010 a Chinese fishing boat collided with a Japanese coastguard vessel, off the islands of Senkaku in the East China Sea. The captain of the fishing boat was arrested. Among the Chinese government’s responses was stopping the export of rare earth minerals to Japan.
Among the materials banned from export are metals gallium, antimony and germanium, Beijing’s commerce ministry said in a statement that cited “national security” concerns.
Exports of graphite, another key component, will also be subject to “stricter reviews of end-users and end-uses”, the ministry said.