March 22, 2018
With Trump economic crackdown, a new era in U.S.–China relations
The Trump administration announced today a plan to levy investment restrictions and roughly $60 billion worth of tariffs on China in response to its widespread violation of U.S. intellectual property rights. The message to Beijing is clear: Washington will no longer overlook China’s systematic efforts to acquire American technology.
Why it matters: These economic policies mark the dawn of a new era in U.S.–China relations. Though once a source of stability between the world's two most powerful nations, commerce and investment will from now on be a flashpoint.
The big picture: Beijing pursues U.S. technology by extracting intellectual property from U.S. firms operating in China, investing in American companies and startups, and opening research centers in the U.S. to tap American talent. While the tariffs might compel China to improve its domestic treatment of American firms, they leave most of China's practices unaffected. Limitations on Chinese investment in the U.S. — if carefully scoped and adaptable to Beijing’s evolving toolkit — would do more.
Read the full op-ed on Axios.
More from CNAS
-
How Long Will Deterrence Hold?
Podcast
Mike hosts Michèle Flournoy, former Co-Founder and Chief Executive Officer of the Center for a New American Security (CNAS), where she currently serves as Chair of the Board o...
By Michèle Flournoy
-
Trump’s Second Term: How Will the New Administration Reorder U.S. Foreign Policy?
Video
The return of President Donald Trump to the White House represents a significant moment for both US foreign policy and geopolitics. Following Trump’s comprehensive election wi...
By Lisa Curtis
-
Sharper: Trump's First 100 Days
Commentary
Donald Trump takes office in a complex and volatile global environment. Rising tensions with China, the continued war in Ukraine, and instability in the Middle East all pose s...
By Charles Horn
-
The Trump-Biden-Trump Foreign Policy
Commentary
The stability of U.S. interests and values, the role of Congress, and the realities of today’s world will demand a significant measure of constancy....
By Richard Fontaine
