(AmericanPoliticalDaily.Com)- President Donald Trump has long championed manufacturing more products in the United States and relying less on communist China. Following the outbreak of the Chinese coronavirus, his message has become more popular than ever, and a new initiative championed by Trump could mean the global supply chains begin shifting away from the country.
Senior officials from the Trump administration told Reuters that the outbreak of the virus, and the economic damage caused by measures taken to reduce its spread, means there is a large push than ever to move supply chain dependency away from communist China. The officials said that efforts would be made to manufacture more in the United States and shift supply chains to “friendly nations” instead.
“The U.S. Commerce Department, State and other agencies are looking for ways to push companies to move both sourcing and manufacturing out of China,” Reuters reported.
The news outlet also reports that government officials are looking into using tax incentives and re-shoring subsidies to encourage businesses to leave China and start doing more business at home.
Keith Krach is the undersecretary for Economy Growth, Energy and the Environment at the Department of State, and he recently told the media that the administration was already looking at these measures but that the outbreak of the virus sped up the president’s efforts. Krach said the Trump administration is “not turbo-charging that initiative.”
Another government official told Reuters that the pandemic has created the “perfect storm,” and has “crystallized all the worries that people have had about doing business with China.”
President Trump is also reportedly setting up an “Economic Prosperity Network,” that includes an alliance of countries that are already on good political terms. The network would mean that businesses and civil society groups within these countries would all be required to operate to the same standards on everything from trade, commerce, and education, to energy and infrastructure.
The idea is not dissimilar to networks that already exist across Europe, albeit without the political structure of the European Union that British populists rejected in the 2016 referendum.
The news comes as the intelligence community releases more information about China’s cover-up of the coronavirus. The Five Eyes intelligence group, an alliance between the UK, USA, Australia, New Zealand, and Canada, recently reported that China waited more than six weeks to report evidence that the virus could be transmitted between humans.
Does that sound like a trustworthy trade partner?