The G7 argue they’re diversifying, not decoupling, from China. Yet Beijing sees them hobbling strategic industries and undercutting its global leadership. “Escalation” is a more accurate synonym, says petesweeneypro
The West may want to bottle up President Xi Jinping’s ambitions without endangering their supply chains or market access; Germany’s Chancellor Olaf Scholz said the group will continue to invest in the $18 trillion economy. Yet polite synonyms for what is, on balance, an escalatory move are unlikely to prove soothing. “De-risk” is a reasonable-sounding word, but in plain English it means forcibly reducing demand for Chinese exports at an economically vulnerable moment.
The G7 also wants to isolate Beijing diplomatically. Ukraine’s embattled President Volodymyr Zelenskiy, in town at Tokyo’s invitation, tried on the sidelines to woo leaders like India’s Narendra Modi away from Russia. Any adjustment towards Kyiv by New Delhi or Brasilia would make Xi’s support for Prime Minister Vladmir Putin look more extreme.
In hard-power terms, the U.S.-led allies are flexing on Taiwan. Australia, Japan and the United Kingdom have all unveiled big hikes to defence budgets recently. Prime Minister Fumio Kishida is going toto over 2% of gross domestic output by 2027, and wants to adjust the country’s once-pacifist legal framework so its armed forces can more easily fight alongside the Americans.
Irked by the G7 statements, Xi’s government has already called Japan’s ambassador on the carpet. And on Sunday, China’s cybersecurity regulator
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