Fareed Zakaria: ‘China Has Used the Last Three Economic Shocks to Further Its Dominance’

EXCERPT:

ZAKARIA: "Chinese officials claim their country does not want to replace the United States. Its business leaders insisted that America remains the more innovative economy. Even though America has soured on China, those leaders continue to admire Silicon Valley, America's great universities and the scale and sophistication of the U.S. market. China's strategy is to use this crisis to build its economic strength and global influence. China is doubling down on the frontier technologies that it believes will define the next era of growth. Green energy, robotics, artificial intelligence applied to real industries, advanced manufacturing and services. Its dominance in some of these sectors is already staggering. It produces 80 percent of the world's solar panels, about 60 percent of the wind turbines and 75 percent of the batteries. It supplies 70 percent of all electric vehicles on the planet. China has used the last three economic shocks to further its dominance. During the pandemic Chinese firms surged to supply much of the world with medical equipment. As the artificial intelligence boom swelled, China became central to its physical buildup. The metals, electrical equipment, batteries, cooling systems and industrial components needed for data centers. Now the Iran War has produced a global scramble for new energy. Here again, China is the indispensable power.”