The Western news media likes to throw everything including the kitchen sink to see if anything sticks and then when none of it works, they go back to being civilized... China shouldn't have threw Trump a bone with the phase one deal. What did China get from it? Nothing that I know of except maybe staving off Trump from saving face and do something stupid that will cost the US dearly. Like I've said that China just being simply a large consumer market has the West scared of doing a lot of things against China.
China did not exactly lose anything either.
China played along.
With the trade war, the tariffs hurt the Wal-Mart shopper in America. With Chinese trade volume increasing, including with the United States at record levels, China gained irrespective of the trade war.
With the tech war, the only measurable result is Huawei sold less phones, while the other Chinese companies sold more phones. The net effect is a wash for China.
Then when we consider that Huawei Harmony O/S has really gained traction to a solid number #3 in the world in terms of active users, and probably will over take Apple iOS in a couple of years, and with the semiconductor restrictions, that urgency truly kicked started the entire IC effort inside China, this looks like a debacle.
In the trade war, China traded or gave away nothing. In return, the temporary displacements of Huawei and SMIC, in effect are traded for permanent gains, in Harmony OS (which realistically no one would have thought if it took off or not, as Huawei was happy being a part of Google Adroid), and China actually does buildup China 2025 in IC. The short term the phones move laterally inside China. The long term Huawei has their own cell phone OS which is probably more valuable than just the phones. SMIC and China IC industry rises, and will sell into the China market at the expense of the current American suppliers.
As President Trump said, this is a bad deal.
Besides these material gains coming soon in the next few quarters, what China also gained from this trade war and tech war is credibility as a major economic, technological force, and reliable partner in commerce. China did not go around the world whacking everyone with a tariff.
As far as China is concern, white supremacy works.
White supremacy believes China cannot do it without help from Western nations. CCP believes otherwise, goes ahead and does it, unimpeded, because white supremacy already had dismissed that possibility of China succeeding on its own.
Although this is just my view of the world, I find it truly amazing. The Chinese Communist Party used white supremacy as an ideological weapon against Western nations. It is sort of like one of the 36 Tricks, cross the ocean or something in full view.
