Keeping the United States away from China

Today, in the U.S. Senate Committee on Foreign Relations, various bills on US-China Relations have been debated regarding the United States’ independence from China. The urgency for the U.S. to achieve independence from China stems from a desire to reduce economic reliance on Chinese goods and decrease potential risks associated with China's growing influence. Senators separated in three groups to discuss which ways were best to reduce dependency from China. When around ten senators were writing a bill about a military intervention in Taiwan against China, the rest of the senators were debating industrial and economic independence. 

“The Economic Independence Act” was one of the two bills suggested about economic independence from China. This bill is more severe than the other bill for a few reasons. The first measure is an enforcement of “a compound tax interest of 5% increasing annually, starting at 20% on all associated goods that are affiliated with CCP, until further negotiations” and an economic benefit for the companies affected has been realized. The other group refused to impose taxes on all goods because it would impact US customers, according to the Maine Senator. She proposed to tax only equipment because it would affect prices and disadvantage US customers. However, they joined the 20% taxes measure.

The other major section of the bill is called “Globalization”. Senators wanted to negotiate with neighbouring countries of China, i.e. Japan, Taiwan, South Korea and Indonesia, but also the World Trade Organisation and the Blue Dot Network about trade agreements and form and strengthen economic alliance. They also added measures on decreasing taxes on the US alliances and implementing a benefits system.

In sum, this bill proposed measures such as enforcing taxes on Chinese-associated goods and encouraging American companies to decrease their dependency on Chinese imports, aiming to strengthen domestic production and economic security. Additionally, it sought to foster global alliances and trade agreements with neighbouring nations and international organizations to create a more balanced and resilient economic landscape.

The bill did not pass but the long debates on the different measures suggested highlight the urge for the U.S. to less rely on China on different levels.