A new cold war is upon us, but only China is in a position to push it beyond the point of no return. That moment will come when China’s policymakers cross the Rubicon and decide to wean Chinese economic growth off the US trade deficit.
Interesting article about the symbiotic relationship and the changing conditions that threaten it. One of these factors is the development of the Chinese economy beyond the point that the Americans that entered into the deal foresaw.
Yanis Varoufakis points out, correctly in my view, that neither side wants to end this "dark deal" since it is highly beneficial to powerful interests in both countries. But US attempts to undermine China's development and challenge it militarily through creation of a "Pacific NATO" may force its closure.
YV doesn't explore the ramifications of this but they would be considerable for both sides as well as the world, since it affects global trade and therefore impacts the global economy. This is coming sooner of later since it is the natural course of development, but it looks to me like it is coming sooner than later. China is already taking steps to prepare for it and has for some time, just as Russia acted to increase self-sufficiency as a result of sanctions.
Will China Dump Its Dark Deal with America?
Yanis Varoufakis