The world is trying to reduce its reliability on China.
What the governments are doing to counter China?
What is the diplomatic way to do so?
Is it possible to completely stop the use of Chinese products?
Well hang in there all your questions will be answered.
A huge wave of anti-China sentiment is going on in the world now. Not only the governments but also the citizens of US, India, Europe, Australia, Japan and other countries are disappointed on China's mishandling of COVID-19. Till now COVID-19 has taken 393,102 lives and economical losses are still unknown. And this is not only about COVID-19. China's aggressive behaviour in South China Sea, in Hongkong and border tension with India is also a reason behind that. Like these China is played many diplomatic games to influence the geopolitics.
The governments and people of various countries are using different ways to counter China.
1. Governments way to counter China.
In most of the democratic countries people are pressurizing their governments to take some steps against China. The best way to do that is taking out investments from China.
As we know Chinese economy has grown significantly in last 2 decades by exporting Chinese made goods. As China is manufacturing hub of the world. In 2015, the manufacturing industrial sectors contributed to 40% of China's GDP. But the main disadvantage of China is, their manufacturing sector is based on foreign investment and technology. All the investment and technology is provided by countries like US, Japan and Europe. China only provides land, labour, raw material and infrastructure for low cost manufacturing. So major restructuring of global supply chain could be a options by these developed countries to slow down the Chinese economy. Recent move by Japan is a good example for this. Japan has announced $2.2 billion package for their companies to Move their manufacturing out of China. But this change will not happen suddenly. This is because China has infrastructure and supply chain system like no other countries. Also they have promoted industry based quality education to create skilled labours. China has focused and invested nearly 20 years to develop these facilities. Other Asia countries like India, Bangladesh, Vietnam, Thailand, Philippines could play a key roll for replacing China as manufacturing hub. Yet to make all of this happen, governments across the world have to plan and do it in phases.
2. Diplomatic way to counter China
Diplomatically isolation of China could be a way to counter China. That means other countries will not share or reduce the information sharing regarding Defence, science and technology. Also getting a visa for Chinese people as well as Chinese politicians could be made harder. Reduction of Chinese students in foreign universities could also be possible.
Also Countries could avoid defence, Trade and other deals with China. Countries could also form new alliance against China. Some of these steps has already taken by countries, like UK has proposed to form a new group called D10. It consists of 10 major democracies in the world and the objective of this group is create alternative suppliers of 5G equipment and other technologies to avoid relying on China. Also US has proposed to extend G7 group by adding some other major economies. In this China is not considered. US has also banned Chinese brand Huawei and US has passed the bill that could remove scores of foreign companies mostly Chinese from U.S. stock exchanges. These moves from US can hit Chinese economy badly. Also recently India has signed up Comprehensive Strategic Partnership with Australia to counter China in the Indian and Pacific ocean. This will strengthen the capabilities of India and Australia against China. These are the major steps taken till now. More steps like these are expected in the future.
3. What the normal citizens can do.
It is estimated that 7 out of 10 products that we are using are fully or partially made in China. So removing every product with tag of made in China is not possible at right now. But we can phase out these things one by one. Like whenever we buy anything new make sure it is not made in China. And look for alternative for Chinese brands mainly in electronics. Doing this will take time and effort but this will create more indigenous alternatives in the future.
Yet doing this will make the global supply chain more reliable.
So we would like to ask you, What more could we do to make the global supply chain run more smoothly.