US versus China - Multiple dimensions

The multiple dimensions of the US China global competition

US versus China - Multiple dimensions

---

Read more on - Polity | Economy | Schemes | S&T | Environment

---

• US versus China: As a considered policy, America is putting pressure on China's 5G spread across the world, either via pressure, or incentives and inticements to countries to shun Chinese-made gear.
• Helping them build: America is building a handbook to guide governments in Europe (central, eastern) and developing world to build next-gen 5G cellular networks that avoid Huawei Tech and China's ZTE Corp. Britain has put big restrictions on Chinese equipment already. The US also wants to offer training to everyone on this! (moderated by Commerce Dept's 'Commercial Law Development Programme')
• G7's BBBW: The Group of Seven has launched the "Build Back Better World" (BBBW) as an alternative to the BRI of China (Belt and Road Initiative). Separately, the US is intensely focused on the telecom industry to cut Chinese firms' influence, as Biden-Harris view 5G as a major security threat. Chinese firms reject allegation that they spy for China, saying they are independent firms!
• Incentives: A new American law now makes giving financial aid to other countries possible, to help them avoid buying Chinese telecom equipments! What began as warnings a few years ago, has changed into a full financial campaign now.

1. Germany has refused to ban the Chinese, and UK have restricted the use (not banned)
2. Hence, the carrot of loans has arrived, as China's gear is cheaper than from other makers like Ericsson AB and Nokia Corp.

• Why this sensitivity: America says that since 5G will get embedded into virtually everything, from automated factories to heart monitors, it's very sensitive. So the US has preferred telecom vendors like Sweden's Ericsson, Finland's Nokia and S Korea's Samsung. A victory was in May 2021 when Ethiopia went for an alliance funded by the US, and not China-funded telecom firms!
• Three Seas initiative: America now has a fund - Three Seas Initiative - that invests in energy projects. It invests in projects in 12 central and eastern European countries that are poor but not poor enough to be labelled "developing". So US foreign aid can now reach them to buy non-China equipment.
• Russian angle: Many nations like Romania, Poland, the Baltic countries, Czech Republic and others think it's better to be closer to the US, given the Russian annexation of Crimean peninsula in 2014. Most dislike China too, and are taking on Huawei directly. Hungary is supporting China for the moment, and Serbia too.
• Summary: The US has launched a full offensive against China now, and results will be interesting to watch. India may benefit.
• EXAM QUESTIONS: (1) Explain the various approaches being used to limit the expanding influence of Chinese technology firms in the world. Will such negative approaches succeed? (2) Explain the fear behind allowing Huawei 5-G telecom gear in a country's telecom network. What can it do that worries governments? (3) The global consensus in the liberal democratic world slowly is gravitating towards presenting a strong united resistance to Chinese technology firms. Explain with examples.

Read more on - Polity | Economy | Schemes | S&T | Environment

#US #China #geopolitics

Join UPSC Self Prep course | Online Course (PT Gurukul)  | Covid Special Course | Join PT courses

* Content sourced from free internet sources (publications, PIB site, international sites, etc.). Take your own subscriptions. Copyrights acknowledged.