So what did our tax dodging mate do? He is simply sucking up to Premier Win Jiabao like a little lap dog. He is on a mission to seek China’s aid to co-ordinate their exit strategies together from the financial crisis. He has even gone so far as to tell the world that China as the number three global economy now is of more importance than the other G 8 countries. The world’s future rests upon America and China getting together to lead the world out of recession. On the one hand, Geithner wants to partner China in easing trade and currency tensions while laying out mutually consistent frameworks for recovery. On the other, China is demanding from the States fiscal discipline (thereby preserving the value of its bonds) and lifting President Obama’s veiled threat of protectionism.

Why in the hell are we wasting our time on China? If they are such great “partner” and everything accomplished within China was above board, G.M.’s Chinese profits from being the most popular auto domestic manufacturer should have saved them from bankruptcy, Motorola would be still a top electronics company and Microsoft wouldn’t be able to keep up with the demand for its software inside China. It is simply a fact of life, apart from the Wal-Marts and other large importers from China, no-one has ever successfully made a dime (or ever will) by selling its wares inside that country. Yes, that includes you Caterpillar, one of the most traitorous of American corporations.

Our future lies within Europe and our neighbors, particularly Central (excluding Mexico) and South America. Geithner fears if there is any discord the talks with China might rattle the bond and currency markets. After what has happened since September, that is indeed a joke. He is also reassuring China it is silly for them to show concern about the safety of their assets in America. What he should be telling them is until they show some support of America’s role as the global leader, then America will pursue taking actions that will be solely for the benefit of America. A low dollar is great for us, as it dampens demand for Imports and makes American products more competitive. When China stops pegging its currency to the $Yankee and like Japan and everyone else allows it to float, a whole new world might open up, not so much for China but every other emerging nation. I would love to see this day arrive, because instead of Obama et al apologetically and constantly kissing up to every known enemy, China and its buddies might have to learn how to kiss up to us.

In the interim we should enter a period of protectionism to stabilize our domestic economy, allow the dollar to depreciate to its lowest levels in history in order to balance the trade deficit and from this day forward choose partners who really are our friends. Isolating ourselves and shutting ourselves out from our foes will do more to bring the world back into balance than continuing to crawl up to the enemy. It has only achieved continuing to make us the laughing stock of the world. Pakistan, the Middle East and its problems should be of more concern to China than it is to us. They are almost neighbors. Let China come out of the closet and become the supporting voice and ally of Islam radicalism within Asia and the Middle East. It definitely takes a lot of gray out there and puts it into black and white. I think reality is the Taliban, Islamist radicals, Al Queda and China deserve one another as all share so much in common (and totally opposite of our values and beliefs); a hatred for democracy, individual rights and freedom. Let’s face it, how could China ever become our true friend?

America has all but exited the shipping business with only a handful of remaining small steamship lines left operating because they are protected by the Jones Act. In the seventies the Japanese moved in big time, followed by the Taiwanese and Koreans. Even city-state Singapore has built up larger fleet of merchant vessels than America. Over the past twenty years China naturally has become a major player also. The two major lines, Cosco and China Shipping are in the global top ten. Well, to be absolutely correct that was the case in 2008. It might not be so for 2009. According to Paris-based AXS-Alphaliner, the Bible for the shipping industry both lines’ profitability appears to be falling faster than their rivals as they come under pressure to fill their fleets with cargo at dirt cheap rates.

Cosco’s revenues in the first quarter dropped 63.8% from the same period last year which turned a near $billion profit into a ½$billion loss. China Shipping was not much better with a 55.8% drop in revenue and a similar loss. Both companies’ volumes are down 30%. None of the other top ten carriers, who have experienced virtually the same drop in tonnages have reported such huge declines in revenue and bottom line results. In these times we all have to sell a dollar for ninety cents, but to go down to fifty cents means, only in Communist China could government-owned enterprises get away with it and survive.

China sells its junk the same way as it operates its shipping companies. And what I cannot understand is this; put Wal-Mart to one side and have a look at two American companies who are huge players in China and probably will both go into Chapter 11 before the end of the year, General Motors and Motorola. Both have a huge presence in the Chinese local market but the truth is just like Cosco and China Shipping they have to sell a Buck for fifty pennies in order to compete. Unfortunately they don’t have the Chinese government check book at the ready to subsidize their losses. One thing for certain when they do go belly up in China, Motorola will lose all its technology to some former Chinese joint venture company and SAIC, G.M.’s partner, will swoop in and do the same with them. That is when China starts to really win!

I have always maintained that China’s growth has brought the world down to the lowest common denominator. When people like the Chinese are treated almost as badly as animals, it is hard for a value system as we know it to become part of their culture. That is why I have difficulty coming to grips with why do we think it is okay and suck up to do business with China, when their leadership is actively waging war, the first phase being an economic one, against us?