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by spacephysics
84 days ago
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Unfortunately much of China’s perverse tactics (they’ve done this in a wide array of industries) is to steal patented tech and trade secrets from companies outside China, subsidize the manufacturing and development etc, then sell their product at an artificially low price which kills the original company and good faith competitors as they cannot compete with the artificially lower prices. Then once the dust settles they’re the only company which can handle large order sizes required for supply chains to build downstream products, and the world becomes further reliant on them. Security concerns and national defense aside, a prime example pre-ban was Huawei layer 1 infrastructure products which far exceeded feature density, and cost effectiveness than competitors due to the subsidies. They’ve done similar tactics with solar panels. This doesn’t imply China or their state sponsored companies never create novel tech, but there’s a hugely perverse system whose purpose is to illegally undercut competition overseas with no real recourse from the victim countries outside of total company bans. And even then, people find a way around the bans and the damage is already done to the original companies. Solar panels: https://www.marketplace.org/story/2021/12/09/chinas-state-sp... Huawai:
https://www.cfr.org/backgrounders/chinas-huawei-threat-us-na... |
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The reason china was able to do this is because of the free trade movement that started with Reagan to undercut US unions. US companies outsourced all the manufacturing as much as possible and china capitalized on the market opportunity.
Am I supposed to be mad that jobs shipped to china who steals a tech weren't shipped to Vietnam who hasn't stolen tech?
China is hardly the only country that has used internal policies and loose intellectual copyrights to get ahead (Famously, the US did the same thing in the late 1800s, stealing factory designs from england). And part of the reason US companies still do business with them is because they are cheaper.