Phil Levy, a Chicago Council on Global Affairs senior fellow, claims the United States wants to solve several issues with China during the trade talks. The trade deficit, as well as unfair trade practices, are not new issues, according to Levy. Mr. Levy worked as a senior economist during the George W. Bush administration. Mr. Trump turned up the heat on China trade practices. He likes to strike the Chinese hard when he thinks the Chinese do something he thinks is wrong.
Huawei, China’s telecommunication giant, claims the attacks on its business model are good examples of how the United States tries to bully China. The United States issued an extradition order for Meng (Cindy) Wanzhou, the CFO of Huawei last December for allegedly violating Iran sanctions through a third party. The U.S. also alleged Huawei steals intellectual property from companies like T-Mobile. Huawei claims the arrest of Meng was a political move by Trump. Huawei plans to fight Meng’s arrest in a Canadian court.
China arrested two Canadian citizens after Meng arrest. But Canada continues to hold Meng until a Canadian judge decides whether to send her to the U.S. for prosecution or let her go back to China.
Wanzhou’s arrest is one example of the pressure the Trump administration uses to get China to agree to do business on a more level trading field. But Huawei claims Trump wants to stop them from controlling the 5G network that the U.S. and China are on the verge of introducing to countries around the world.
The United States wants to stop other countries from using Huawei 5G network. Trump threatened other countries if they use Huawei’s 5G network. And he also banned U.S. companies from using Huawei’s products. Trump claims Huawei spies for China, but there’s no proof of that, according to Huawei.
In order to beat China in the quest to rule the 5G race, the U.S. is in the process of developing its own 5G network. According to some tech experts, the U.S. 5G network is like Betamax was to VHS. Trump’s push to build a 5G infrastructure between 24 and 300 gigahertz will be inferior in penetration and range to China’s “sub 6” spectrum, according to tech experts.
According to one U.S. official, Trump wants to win the race to build a 5G network no one will want to use. The Pentagon uses the sub 6 spectrum, but figuring out how to share it in the U.S. is a long and expensive process. Trump wants to push the inferior spectrum just to say he beat Huawei and China in the race for 5G dominance.