I Think China Wants The United States To Impose %25 Tariff on Chinese Goods in March!

I don’t like to get political and hopefully what I’m writing isn’t too political. I’m thinking that even if president Trump is really wanting to have a trade deal with China to avert the upcoming tariff deadline in March on the Chinese goods, China might not want to see a trade deal gets done even the United States concedes something great.

How come? Well, let pretend to put yourself in a Chinese shoe and think about this for a second. So, if you’re Chinese and you know that the Americans will up the tariff on your $200 billion goods in March from 10% to 25% if the trade deal between China and the United States won’t happen, and so the big question is should you concede to the United States in a big way in order for a trade deal to be happening and the tariff to go away? Well, I think if you’re smart you probably would want the United States to impose the 25% tariff on your $200 billion of goods.

I think China knows that the United States economy is not on a solid foundation otherwise the United States won’t have a government shutdown and such. Furthermore, inflation would go through the roof since the interest rates cannot be raised appropriately. To keep the interest rates low the United States has to continue to print more money. Normal people in the United States will continue to see rising inflation which would cost them dearly in acquiring daily things in local grocery stores and so on. A hamburger meal usually costs like $3 but now is like $7 to $8. So, if you’re the Chinese you would think that higher tariff on the $200 billion Chinese goods must be a great thing for China!

Meanwhile, China is weaning off the reliance on American consumers because of the hostility between the United States and China! This could push China to be more aggressive in finding new markets throughout the world such as in Africa, India, Asia, Europe, South America to replace the North American consumer base. Some other regions might see this as a good opportunity to negotiate with China to get a great deal so they could enter China’s huge growing middle-class consumer base. China may pretend to resist this but could end up agreeing to concede something to these players so they could diversify away from the American consumer base.

I think the long term picture is what China is sought after because China wants to better itself in the overall big picture. This means China doesn’t care if the United States is upping the tariff to 25% or even to 75% or to 100%. When the United States is upping the tariff on Chinese goods, the Americans have to pay more for daily things in their lives. This would put even more stress on the Americans and make the Americans go into debts even more. More Americans in debts could mean a weaker market overall for the United States in the long run. This means more Americans will have to be more prudent on what they will spend so they could have money to pay off their debts. This means the American market will soon see a big cut back from spending by the American consumers. Either this or the Americans who are already in too many debts won’t have money to spend anyway!

Meanwhile, China could just sit pretty and wait out to see another financial crisis that will hit North America. So, in a Chinese shoe, do you think you want to have a trade deal done with the United States? Meanwhile, president Trump may not even want a trade deal done with China since president Trump thinks that he will get more votes for the next presidential race if he goes anti-China even more. In summary, I don’t think by the end of February we will see a trade deal between China and the United States. So, if you’re on the side of wanting to see a trade deal done, you should hope that I’m wrong. So, if you’re on the side of not wanting to see a trade deal done between China and the United States, you would probably want that I’m right. In my opinion, a trade war between China and the United States is not a good thing for the long term economic health of the United States.

Is China Leading In Building An AI Driven Future With 5G?

5G will be the thing of the coming years. If I’m understanding what is really going on, 5G can actually allow the plethora of devices to communicate with each other effortlessly. A quick search on Google yields that 5G is 20 times faster than 4G. Whether this is true or not, one thing is true is that devices can speak to each other way faster than before. This opens up more innovation and infrastructure demands.


The video above shows that China is heading in the direction where more machines will replace humans in labor-intensive jobs. The day when we need an extra pair of human hands may be over sooner than later because smarter machines with AI capability can actually think for themselves and carry themselves in jobs effortlessly. Nonetheless, AI machines without 5G will be like a pony just starts learning how to walk.

5G will allow AI machines to transfer data fast and constantly so that things can speed up even more for decision making, planning, communication and so much more. I think with 5G, self-driving car technology is much more believable since you can have many self-driving cars detect each other easier at once with reliable faster 5G data transfer. Furthermore, smart highways and roads are going to get better and more fitting for self-driving cars because 5G will allow faster communication between the cars and the traffic infrastructures.

If you’re guessing I don’t know what I’m talking about, you may be right. After all, 5G is so new and I haven’t seen it firsthand or use it in real life. Nonetheless, according to the information I could Google, 5G is 20 times faster than 4G. Right now I’m using 4G on my smartphone but I think 4G is already quite fast. I can imagine how crazier it could get if I got 5G.

A day ago I briefly encountered an article which described how 5G could destroy the need for the cloud. Then I briefly read over the article’s comments that displeased how the article’s author was too lacking of knowledge since the commenters didn’t see how 5G could destroy the cloud since the cloud is about centralization of data storage.

Personally though, I don’t see how centralizing storage like the cloud could go away since data redundancy is always a priority, especially in the age of AI which is driven by data. Of course, all bets are off when AI becomes self-conscious since such AI needs no human data to drive its own logic. Until then, the cloud stays important.

I also think that 5G could allow the decentralization of networks to become a thing too! How come? Local devices and storages will be able to talk faster to any other storage and device across the world — destroying the needs of having to plan and engineer a network that is catering to the importance of distance. Although we already in the age of information where distance isn’t as relevant as the 19th century for communication, but 5G may make distance even more irrelevant when it comes to data communication.

Basically, instead of waiting for minutes for a movie to be downloaded onto your device, you may only have to wait for a few seconds to have your movie when you use the 5G network. 5G data can cross secure communication channel much faster and more reliable since faster data transfer allows faster data integrity check and whatnot. Perhaps, we could see shopping, banking, and other important financial related activities across the world on the world wide web to be more reliable and faster — better experience overall!

In summary, I think 5G will be awesome! I would love to see not only cellular network but also home network to be able to transfer speed that is as fast as 5G or better. This way, everything will be on the same pace and everyone will be using faster Internet speed. What’s not to like when you can get a whole 4K movie to be downloaded in a few seconds, right?

The Future Is Now, News Anchors Could Lose Jobs As AI Is Taken Over — The AI Won’t Go Off Script, Ever!

A Chinese news agency Xinhua had just unleashed a world first news anchor AI presenter which based on a real human’s facial expressions.  You could easily tell the speech is spoken by AI since the voice is quite digitized.  Anyhow, I think they could as well make the voice seems more human-like if they choose.

I wonder if someone else out there is watching this video and has an idea that what if we could also get rid of real actors by using this technology, right?  I think it’s possible in the future that we could use AI to replace real human actors!  Nonetheless, I could also foresee the possibility of using this technology to fabricate and frame a good person in a scandal!

China’s Mars Simulation Base Is Up And Running

In the video right after the break, the video suggests China is planning a mission for Mars in 2020.  I assume they’re planning to send taikonauts to Mars in 2020 since the video is about how they had built a Mars simulation base for taikonauts on earth.  I think this is amazing!  Sending humans to Mars would be a new next biggest achievement for humans outside of earth!  I can’t wait to see this happens in 2020!

Could Trade War Be A Blessing In Disguise For China?

What I’m about to write could be controversial for the time we’re living in now.  As we all know president Trump’s tariffs on China are the means to push China to negotiate a fairer trade — at least this is how the president promotes to the public.  So far China isn’t willing to be a pushover and so they decide to retaliate pound for pound.  This means whoever blinks first would lose a lot more in the long run, but in the end, both the United States and China would lose in short-term — well, at least this is how the news programs promote this.

I’m thinking that could tariff be a blessing in disguise for China?  How come?  China has been known as the factory for the world since they opened up their market and joined the World Trade Organization.  This means China can ramp up production of almost anything!  As Trump’s tariffs hit China, companies that want to avoid tariffs from the United States and still want to export to the United States would move their operations out of China.  Nonetheless, there are Chinese and foreign companies in China that produce the same stuff but have yet to export their products to the United States would find the vacuum suddenly is a lot more pleasant to navigate and do business.

The Chinese government could also be more lenient toward companies that decide to keep their operation within China, thus allowing these companies to prosper while China’s internal consumer market ought to grow bigger in time.  Remember Google?  Google left the Chinese market a long time ago but now Google has shown signs that it wants to grab a chunk of the Chinese’s huge consumer market.  Unfortunately, Google isn’t making much progress in this front and allowing similar Chinese homegrown companies to grow unchallenged within China.

Since Chinese companies that are going to stay in China could ramp up their production unchallenged as the trade war between the United States and China heats up, these companies ought to grow bigger in a more empty but lucrative Chinese consumer market.  Perhaps some European companies may want to open up their operations in China to give the Chinese companies some competitions.  Anyway, I think Chinese companies could grow unchallenged in their home market and mass produce even cheaper products to saturate the world market even more.  In the end, I think trade war could only harm a weaker foe who got no means to fight back and could not ramp up production.  In the case of China, I think trade war could be a blessing in disguise for the reasons I surmised thus far.

 

Could The Yuan’s Sliding Allow China To Unload Treasury Bonds?

I’m just wondering!  Lately, the headlines are screaming that China is devaluing the Yuan to help cushion the blow of Trump’s tariff on China’s exports to the United States.  Although this is a legitimate concern that the headlines raise, I’m wondering if there is another hidden motive for the Yuan to slide.

Could it be that the Chinese government is letting the Yuan slides so the treasury bonds that the Chinese own which Americans are in debt to China could stay valuable?  This way China can begin to sell the treasury bonds while the treasury bonds are still valuable.  Once China unloads enough of the treasury bonds onto the market, whatever value China receives from such transaction could then be converted to other favorable assets, investments, and currencies.

Of course, China could always convert the selling of treasury bonds into Yuan and then raise the Yuan’s buying power back up to stave inflation — but then it could begin a deflation.  How?  Well, if too many Yuans that are chasing the same thing could raise the price of whatever, but when the buying power of Yuans get push up the Chinese government then could lend out these Yuans to other countries and International projects such as Belt and Road Initiative projects to stave inflation.  A more powerful Yuan could also allow the Chinese to get more bang for the buck whenever they use the Yuans to acquire whatever.  Thus they also have to be careful about the deflation.

I’m no economist and so I could be wrong on what I’m suggesting.  Nonetheless, I would love to hear other people’s opinions on the suggestion that I’m suggesting.  Am I wrong?  Am I even close?