As China’s economy stagnates, they are expanding their buyouts of American companies, seeking overseas revenue. China’s buyouts of American companies have seen a 41% increase over last year.
They’ve even made a bid to buy the Chicago Stock Exchange.
Currently, China owns about $1.4 trillion of America’s national debt. Our trade deficit with China was over $360 billion in 2015. They send their products here, and don’t allow us to send our products to their country. What does it all mean? Americans are losing their jobs to the Communist state.
China is buying up American companies in the hopes that they can move those businesses to their country, where they can pay workers much less, which equals a greater profit.. for them. For America, that means many more will be without jobs as their companies move overseas.
One candidate has consistently stood up against China, its currency manipulation, its buying up America’s debt, its denying American goods from entering its markets. Let’s hope other Republican candidates for president begin to follow suit. If not, American workers have a grim future ahead of them.
Business Insider reported on the story:
Here’s a story you’ll be hearing about a lot this year.
Chinese companies have been buying up foreign businesses, including American ones, at a record rate, and it’s freaking lawmakers out.
There is General Electric’s sale of its appliance business to Qingdao-based Haier, Zoomlion’s bid for the heavy-lifting-equipment maker Terex Corp., and ChemChina’s record-breaking deal for the Swiss seeds and pesticides group Syngenta, valued at $48 billion.
Most recently, a unit of the Chinese conglomerate HNA Group said it would buy the technology distributor Ingram Micro for $6 billion.
And the most contentious deal so far might be the Chinese-led investor group Chongqing Casin Enterprise’s bid for the Chicago Stock Exchange.
A deal spree
To date, there have been 102 Chinese outbound mergers-and-acquisitions deals announced this year, amounting to $81.6 billion in value, according to Dealogic. That’s up from 72 deals worth $11 billion in the same period last year.
And they’re not expected to let up anytime soon. Slow economic growth in China and cheap prices abroad due to the stock market’s recent sell-off suggest the opposite.
“With the slowdown of the economy, Chinese corporates are increasingly looking to inorganic avenues to supplement their growth,” Vikas Seth, head of emerging markets in the investment-banking and capital-markets department at Credit Suisse, told Business Insider earlier this month.
Republican candidate for president, Donald Trump, sounded off on China’s efforts to undermine America on the Wall Street Journal:
In late September, President Obama signed an agreement with the Chinese head of state that was intended to add a layer of protection to intellectual property in both countries. The ink was not dry before Chinese-sponsored agents began cyberattacks on private companies in the U.S.
The American people need to be told the truth about our “partner” China. China holds over $1.4 trillion in U.S. debt. The Chinese are, by far, the largest foreign debt holder. As of the end of August this year, the U.S. trade imbalance with China is already at $237 billion, on the way to an annual trade imbalance north of $350 billion. China’s economy is controlled by the government. Any notion that their economy is based on a free-market system is simply not true. If an American company wants access to the Chinese consumers, that company must share its intellectual property, a condition that violates international fair-trade standards, World Trade Organization rules and common sense.
But the worst of China’s sins is not its theft of intellectual property. It is the wanton manipulation of China’s currency, robbing Americans of billions of dollars of capital and millions of jobs.
Again, special interests and crony capitalism have weakened the resolve of the Obama administration in confronting China over its currency ploys. Economists estimate that the yuan is undervalued anywhere from 15% to 40%. Through manipulation of the yuan, the Chinese government has been able to tip the trade balance in their direction by imposing a de facto tariff on all imported goods. Imagine the impact these practices have had on our weakened manufacturing base, our agriculture industry and every small business unable to compete internationally.
By watching the Obama administration, you might think that nothing can be done about all this. What is most alarming is that much can and should be done, but the White House chooses to do nothing to protect American workers and companies.
On day one of a Trump administration, the U.S. Treasury Department will designate China a currency manipulator. This designation will trigger a series of actions that will start the process of imposing countervailing duties on cheap Chinese imports, defending American manufacturing and preserving American jobs.
The American people need an administration that will tell them the truth and a president who will put America first. That’s what I intend to do.
Choose wisely in this election, America. Your very jobs could depend on the choice you make.