Huawei, with its “game-changing” lead in 5G technology, remains the prime target. The strategic importance attached to its destruction is reflected in the rare example of bipartisan cooperation between the Trump administration and congressional Democrats to deny global markets to the company and to starve it of essential components. This past weekend, House Democratic speaker Nancy Pelosi joined defence secretary Mike Esper and secretary of state Mike Pompeo in again warning other nations to cut their ties to Huawei.
Additionally, the US has now taken aim at the emerging Chinese civilian aircraft industry by banning the supply of jet engines to it by US and foreign suppliers.
Goldman reports on how the aggressive US moves to contain China have been mainly met with frustration and opposition from its British, French, German, and other allies, and by frantic lobbying from Boeing, GE, Qualcomm, and other US manufacturers, all of them dependent on the massive and growing China market.
“The blowback against American prestige and the risk to key American companies is enormous”, he warns.