Duval Times

U.S. Senator Marco Rubio (R-FL) has issued a stark warning regarding the economic impact of Chinese trade practices, drawing parallels to the original "China Shock." In an op-ed published by the New York Post on September 19, 2024, Rubio highlighted the widespread consequences of Chinese overproduction on global industries.

Rubio pointed to several regions experiencing significant disruptions due to an influx of Chinese imports. He cited Latin America, where Chile's last steel mill has shuttered; Asia, where India and Vietnam are probing market disturbances; and Europe, where Chinese-made electric vehicles have captured a substantial share of the EU market within five years.

According to Rubio, global leaders invested in maintaining current economic relations with China are reluctant to take action. He specifically mentioned German Chancellor Olaf Scholz and Spanish Prime Minister Pedro Sanchez for opposing EU plans to increase tariffs on Chinese-made electric vehicles due to their countries' short-term profits from car sales in China and investments from Chinese companies.

Rubio also criticized the International Monetary Fund (IMF), accusing its economists of deflecting blame from China's industrial policies by attributing market disruptions to broader macroeconomic forces stemming from the COVID-19 pandemic. He argued that this stance is influenced by Beijing's membership in the IMF and a prevailing free-trade ideology among its economists.

"The truth is that Chinese overproduction is far from accidental," wrote Rubio. He asserted that nearly a decade ago, the Chinese Communist Party (CCP) devised a strategy to dominate global trade in critical industrial inputs and high-value goods. According to recent research from his office, Beijing now exerts near-total control over supply chains essential for 21st-century industries.

Rubio emphasized that China's dominance extends beyond economic impacts, citing new restrictions on antimony—a metal vital for military supplies—as an example of CCP's leverage. He called for urgent measures to secure economic independence and urged other nations to challenge China's supply-chain dominance.

"The evidence shows that 'free trade' with China is a one-way ticket to broken industries, bankrupt businesses, and widespread unemployment—as well as security dependence on a power-hungry dictatorship," concluded Rubio.

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