China goldThe U.S. has gone “nuclear” on China in a trade dispute over steel, and the Chinese response is likely to be at least as strong. 
What happens when the two largest economies on the planet start fighting a trade war with one another? 
We are about to find out…


From Michael Snyder

Silver Eagle SD BullionAs you will see below, the U.S. has gone “nuclear” on China in a trade dispute over steel, and the Chinese response is likely to be at least as strong.  Meanwhile, events in the South China Sea have brought tensions between the Chinese government and the Obama administration to a boiling point.  The Obama administration strongly insists that China does not have a legal right to those islands, and in China there is now talk that it may ultimately be necessary to confront the United States militarily in order keep control of them.  Most Americans may not realize this, but the relationship between the United States and China is officially going down the tubes, and this is likely to have very significant consequences during the years to come.

Let’s start with the trade war that has erupted.  About a week ago, we learned that the Obama administration had decided to “go nuclear” on China by imposing a 522 percent duty on cold-rolled steel from China that is used in certain kinds of manufacturing…

In some regard, China has reason to be angry: the US unleashed what is nothing short of a nuclear bomb in its rapidly escalating trade war with China, and recently imposed duties of 522% on cold-rolled steel used in automobiles and other manufacturing,  In doing so it has rendered Chinese exports to the US unsustainable and will force even more excess Chinese production to remain landlocked within China’s borders, making the domestic glut, and price collapse, that much worse.

Subsequently, it was announced that a 450 percent duty will be imposed on corrosion-resistant steel from China

Corrosion-resistant steel from China will face final U.S. anti-dumping and anti-subsidy duties of up to 450 percent under the U.S. Commerce Department’s latest clampdown on a glut of steel imports, the agency said on Wednesday.

Needless to say, the Chinese are less than amused, because these “shock and awe” trade duties were clearly designed to punish China.

And of course the truth is that China has been abusing us for years, so there is definitely a case to be made that they deserve even harsher treatment.  However, we need to keep in mind that the Chinese will retaliate for this.  And when they retaliate, it will likely be quite painful for us.  But for the moment, they are just issuing vague threats

China’s Commerce Ministry said it was extremely dissatisfied at what it called the “irrational” move by the United States, which it said would harm cooperation between the two countries.

“China will take all necessary steps to strive for fair treatment and to protect the companies’ rights,” it said, without elaborating.

Meanwhile, events in the South China Sea continue to push the United States and China toward conflict.  Let me summarize a few of the most important things that we have seen over the past month…

-In early May, Chinese authorities refused to give permission to the U.S.S. John C. Stennis battle group to make a routine port call at Hong Kong.  The Chinese had not turned away a U.S. aircraft carrier in almost a decade, and many believe that this was in direct response to comments that U.S. Defense Secretary Ashton Carter had made regarding China’s territorial claims in the South China Sea.

-Subsequently, the Obama administration sent the U.S.S. William P. Lawrencesailing within 12 nautical miles of the disputed islands in the South China Sea.  This was the third time that Obama has sent naval vessels cruising by those islands, and it provoked an extremely angry response from China.

-Just last week, two Chinese fighters and a U.S. spy plane nearly collided in mid-air approximately 50 miles away from Hainan island.  This incident made headlines all over the planet.

Most Americans seem to believe that the Chinese are our “friends”, but in China the perspective is completely different.

The Chinese consider the United States to be their number one long-term strategic adversary, and they have been working feverishly to prepare for a future conflict with us.

For example, China just conducted a successful test of a new hypersonic glide vehicle that we do not have any defense against.  The following comes from the Washington Free Beacon

China successfully flight tested its new high-speed maneuvering warhead last week, days after Russia carried out its own hypersonic glider test, according to Pentagon officials.

The test of the developmental DF-ZF hypersonic glide vehicle was monitored after launch Friday atop a ballistic missile fired from the Wuzhai missile launch center in central China, said officials familiar with reports of the test.

The maneuvering glider, traveling at several thousand miles per hour, was tracked by satellites as it flew west along the edge of the atmosphere to an impact area in the western part of the country.

In addition, just today there were global headlines announcing that China is poised to send subs carrying nuclear missiles into the Pacific for the first time ever

The Chinese military is poised to send submarines armed with nuclear missiles into the Pacific Ocean for the first time, arguing that new US weapons systems have so undermined Beijing’s existing deterrent force that it has been left with no alternative.

Chinese military officials are not commenting on the timing of a maiden patrol, but insist the move is inevitable.

They point to plans unveiled in March to station the US Thaad anti-ballistic system in South Korea, and the development of hypersonic glide missiles potentially capable of hitting China less than an hour after launch, as huge threats to the effectiveness of its land-based deterrent force.

Let us hope that a full-blown shooting war with China does not erupt any time soon, but the reality is that we are already locked in a conflict with the Chinese on a number of different levels.

In a recent piece, XKeyscore summarized some of the ways in which China is already seeking to gain the upper hand…

Economic warfare: purchase and/or sale of U.S. treasury bills, Yuan manipulation, government subsidized output (consumer goods), and trade/tariff manipulation.

Cyber-warfare: Engaging in data theft, backdoors, viruses, hacking

Cyber-kinetic warfare: The creation and deployment of Stuxnet-type viruses, and hacking which lead to physical damage of infrastructure such as power grids, nuclear facilities, hydroelectric and telecommunications systems.

Socio-political warfare: establishment of “Confucian Centers” in the US and around the globe, and the funding of US universities in exchange for roles in university policy-making processes, which often in turn promote communist ideology.

Territorial: China runs port operations in many of the worlds largest and most strategically valuable ports and SLOCs (Sea Lines of Communication). The best example is the Panama canal. Both ends of the canal are controlled by China.

To most Americans, our rapidly deteriorating relationship with China is not much of an issue right now, and very few of our politicians are even talking about it.

However, I am fully convinced that this is an extremely ominous development, and that it will have very, very serious implications for our country during the years to come.

So what do you think?  Please feel free to join the discussion by posting a comment below…

Take Advantage of Silver’s Recent Dip With the Latest 5 oz Silver ATB Release: 2016 Harpers Ferry
On Pre-Sale Now at SD Bullion!


  1. Brezhnev wanted to nuke the PRC preemptively.  Nixon cock blocked that though. That’s according to H.R. Haldeman in the ends of power.  Wasn’t that nice of him?  Now look what we got.  All of our manufacturing went over there.  We are in debt to them. They actually have sovereign territory here in the US sanctioned by the government.  They are called free trade zones.  Hit them again.  This time harder.

    • I doubt if nuking them was or is a good alternative… Bubba Clinton gave away the farm by giving China MFN status… for many millions into his offshore accounts, I am sure… his repealing Glass-Stegall was another betrayal of US citizens… people rag on Trump about his stance on trade… but if countries abuse US… better to fight it instead of dropping trou, bending over and praying they are kind… like Barry does…  Void them ALL and re-negotiate every one.

  2. If the public articles say the U.S. has no defenses against it, you can bet your britches we do!

    If we had none, you would be hearing rumor of some tech to take it out (that remains supposedly highly classified)

    Why arent I hearing about that laser cannon we mounted and tested publicly- knocking out a missle? Call me ignorant  but isnt the speed of light faster than mach 7? Maybe just a little?

    So if the target is within the horizon, that target is toast.

    • The USAF has been testing an aircraft-based chemical laser of considerable power for the past 20+ years.  It could knock down any aircraft from 100+ miles away well over a decade ago.  Given the rapid technical improvement in lasers, sensors, and computers it is pretty clear that new versions of this weapon will have NO problem knocking down missiles that move quite a lot faster than Mach 7… if the missile is in range of the weapon, of course.  The US Navy also has ship-based versions of similar technology.  These are likely to be even more powerful than air-based lasers due to the smaller weight limits of aircraft vs. ships.  Besides… when one is in a high stakes poker game, one does not flash their hand to their opponents.  Better for such things to be… surprises.  🙂


    • Make the surface reflective, spin the missile fast to keep the surface from getting too hot, and it must already be seriously insulated for re-entry, so maybe hitting them is not enough??

    • If we had not run a continuous trade deficit for the past 3 decades or so, I would be tempted to agree with your assessment.  In any business, one cannot buy more than they sell yet this is exactly what the US has tried to do.  The days of foreign countries running the “we sell, you buy” routine on us is coming to an end.



  3. Methinks the true essence of our problems lie in regulations and taxes.  If we remove the hundreds/thousands of regulations impacting each industry and reduce corporate taxes we can compete with anyone on the planet.


    @AJ – indeed we are in debt with the Chinamen, but they hold a very minute share of said debt.  The majority of the debt lies upon the shoulders of tax-paying Americans.

  4. WW3 is in the beginning stages Rev 9:13-21. One third of man kind will die according to the Bible.

    Will China exist after WW3 ? I dont see it any where in the Bible after its brief mention of an army of 200,000,000 . The eagle(United States) is mentioned again Rev 12:14 , the bear(Russia) is still around Rev:13 as part of the beast sys. Come to think of it, I dont see China represented in the nations ( in Dan 7:4-8 )that will be on earth when The Ancient of Days casts down the thrones of men Dan 7:9 ( when Jesus comes)

  5. The US has been outsmarted on trade since Reagan was President. I would call China on the trade imbalance, level playing field, if not THE CHINESE CAN GO FUC_ THEMSELVES. FREEZE ALL MONETARY ACCOUNTS HELD BY THE CHINESE GOVERNMENT and by the private sector of Chinese investors. HIT THEM IN THE MOUTH AND WALLET.

    Stacking and always packing

  6. Its Global Chess.  Checkmate equals partially gold backed Yuan.   This is all preemptive to that end.   Just 1 straw can break the canals back and the whole world will regret it!

  7. Its Global Chess.  Checkmate equals partially gold backed Yuan.   This is all preemptive to that end.   Just 1 straw can break the camals back and the whole world will regret it!

  8.   When the Yuan is backed by Gold the US Dollar is going to be wiped out. China has more gold than the US they just have not let it be know.

     As an American I pray that Trump wins to put American back in a powerful spot again. Obama is weak and América Needs a powerful leader like yesterday. Sad to say this but China played the US as suckers. 



  9. That old stink Stick Bernie Sanders stated that he liked the concept of Venezuelan economics back a few years ago.  it was in a video today posted by Greg Mannarino of  I wonder how that communist mother f***** like Venezuela’s economy now????????   Idiot MFCommi.  just got 2k of RCM 10 ounce bars in today let the games go on!!  I’ve been waiting for this for a quarter-century.

  10. @RulerMan,   these assholes working under the American flag knew a long time ago but the deal was too much to pass up. They  have allowed it to occur they have no one to blame but themselves. we AZ observers of the stupidity have prepared and we’ll suffer a much less severe consequence as a result of paying attention in amusement and disqust.    No slack Do The Stack!

  11. @RulerMan,   these assholes working under the American flag knew a long time ago but the deal was too much to pass up. They  have allowed it to occur they have no one to blame but themselves. we AZ observers of the stupidity have prepared and we’ll suffer a much less severe consequence as a result of paying attention in amusement and disqust.    No slack Do The Stack!

    • Falco I agree 100% Obama destroy the US by printing trillion of dollars.  Just like he won’t use the word radical Islamic. And the reason is he’s a Muslim. What is shame it’s so many stupid Americans voted for the crime twice. Like I said I can only hope that Trump wins we need somebody with balls and it’s smart and business. Hillary should be in jail not running for president. The whole thing makes me sick keep stacking the only way to protect what you have.

  12. gee reading the replies one would think that the US  would be able to win a war against anyone , lets not forget you hhaven’t won a war on your own since the war of Independence , you helped in WWII but came late to the party after Russia had just about finished Germany  but you helped in the Pacific beat Japan a country the size of LA , Korea -nope  , VN  – nope , the desert wars – nope .Syria – nope , so don’t bite  off more than you can chew . Its great to beat your chest and wave your flag but lets remember history , hell even Canada burnt your White House down once , and they are the polite people .

    • @panamaguy, have to agree with you but from what I understand in my readings is that this is by design.  Washington DC goes to war to loot and pillage, not to win.  This scheme goes back to WW 1.  The Rothchilds fund both sides to enrich themselves.  We were warned about the Military-Industrial Complex.  Kennedy if I read correctly wanted to bring it down (CIA, etc.)  The American soldier is more than capable.  Vietnam is a good example.  They were never allowed to win.  Seems like the whole world is run on deception, propaganda, lies.  I read a lot and can hardly make sense of all this craziness.  Only can attribute it to the fact that evil is real and it’s ultimate goal is to wipe mankind off the face off the Earth.

    • Yet another “historian” rides again.  Fact is, the French helped the US considerably in the war for independence.  It wasn’t that they loved the US all that much.  It was that they hated the British… a lot.  😉

      As to us “helping” in WW-II… LO-effing-L!  Hmm, let’s see… 13.5 million men under arms… the world’s largest and most powerful navy… the B-29 and B-36 atomic bombers… an untouched industrial base that was producing war matériel at a rate that few could believe and none could duplicate… and a HUGE amount of supplies such as food, ammo, tents, blankets, medicine, artillery, tanks, trucks, jeeps, rifles, bullets, bazookas, aircraft, and 10,000 or so other things needed to fight a war that was shipped to both the UK and the USSR… and we “helped”.  OMG.

  13. @Agallin

    I wouldn be able to make sense of it either if the Bible didnt help me understand what is happening. The Dollar will not be the world reserve currency because of the mark of the beast sys the Bible talks about where you wont buy or sell without the mark. In Dan 7 we see the nations that will be on earth when The Ancient of Days cast down the thrones of men Dan7:9 (when Jesus comes) These nations are on earth today. Dan 7:4 lion=Britain eagle=Us  or the man= Uncle Sam . Dan 7:5  the bear=Russia Dan 7:6 the leopard with 4 heads = 1st 2nd 3rd Reich and 4th Reich of Germany. wings of a foul = France  We see all these nations again in Rev 13 forming The Beast. Rev 13:2 the beast has the mouth of the lion= international language is English. Rev 13:3 one of the heads has mortal wound thats healed= The Berlin wall came down the beginning of 4th Reich when the world started looking at the UN as less than a joke (And all the world wondered after the beast.) We dont see the eagle in the Beast the eagle has a different destiny not part of the Beast Rev 12:14

    We are at the sixth trumpet war now at the beginning of  it Rev 9:13-21 One third of mankind will die in what appears to be a nuclear war (Bible says smoke, fire,and brimstone) The first five trumpets have already sounded Rev 8:7 1st trump WW1 scorched earth policy of WW1 , 2nd trump WW2  Rev8:8, 3rd trump Chernobyl= means wormwood Rev8:10, 5th trump was the Gulf war Rev9:1-12 locusts with tails like scorpions ,wings sound like chariots with many horses , faces of men ,breast plates of iron. These locust are helicopters. The smoke out of the pit= oil wells set on fire, the leader named the destroyer =Saddam means destroyer.

    • @zero,  I have heard many similar things that you speak of.  It is fascinating how many different angles people come at the Book of Revelation.  You could very well be correct on this.  I am not one to say as I believe this Book was written to be understood only at certain times in history, like the Book of Daniel.  Maybe that time is now.  I am a Christian also so I take this seriously what you write about.

      @Ed_B, you are correct about what you say.  My wife is from Omsk, Russia.  She lived 34 years in Russia and knows history well.  From what I understand is that the US watched the war in Europe play out up to 1943 time frame.  Behind the curtain they really did not choose a side yet until they were confident which side was going to win.  Then the US joined up with the USSR and supplied them with all sorts of  equipment to aid in the war effort after the USSR was seen as gaining the edge.  This is what my wife read from Russian history books and documentary films.  They say that history is written by the victors.  I have concluded that this does not mean it is all true.  I was a sheeple up to the crash of 2008 and began my search for truth at that point.  I do not think we will ever know 100 percent historical truth as it has been so badly twisted and then taught in public schools.  But we can continue to try our best.  Appreciate your comments here on SD.

    • @Agallin

      If your wife is from Russia and knows history well, then she must be quite young, as most modern Russian history was considered state secrets until recently.

      I grew-up seeing estimates of 15 million Soviet dead in WWII.

      When the real number was made available after Perestroika, it was 27 million.

      And it was a huge Russian offensive that started 90 days after Germany surrendered, on August 9th, I believe, a treaty obligation on the part of the Russians, that caused the Japanese to surrender, not the two nukes.

      As far as material, we supplied the British and French, but I don’t believe we sent much to the Soviets in WWII.

      I do have some of the Remington and Westinghouse M91 rifles that were supplied to the Russians in WWI, however.

    • @Agallin


      “From what I understand is that the US watched the war in Europe play out up to 1943 time frame.  Behind the curtain they really did not choose a side yet until they were confident which side was going to win.”

      Although that would not surprise me, I don’t think that happened.  From my reading, the US was heavily involved in the war in the Pacific in 1942 and was not looking to open up a 2nd front if it could be avoided.  What the US did, however, was to generously equip the Brits and the Russians.  German submarines made this a challenging task in the north Atlantic, however.  Supporting Russia via Vladivostok was safer from enemies because the Japanese did not have a lot of submarines but the weather there was and remains severe.  It was more than challenging for those not used to or equipped for arctic conditions.  Also, there was no way that the US Gov was going to support Hitler, regardless of who happened to be winning at the time.


      ” They say that history is written by the victors.  I have concluded that this does not mean it is all true.”

      It is and I agree that there probably are many points in history that have been modified to make the victors look better than they actually were.  Many of my older relatives fought in WW-II.  My father was in the US Navy aboard the heavy cruiser USS Augusta.  After serving out his hitch there he left the navy and joined the army where he fought as an infantryman on a number of islands.  His view of the war was very limited to whatever was in front of him, of course, so he didn’t have the broad view of history that most historians have.  Still, he did get a pretty good view of the Japanese military and how they operated.  The terms “savage” and “brutal” were two words that he could use in polite company.  But US soldiers soon learned to fight that kind of fire with some fire of their own.


      ” I was a sheeple up to the crash of 2008 and began my search for truth at that point.”

      That was a time of awakening for many of us.  I started to awaken in 2009 and then started stacking in early 2010.  Truth is a bit like trying to pick up with our hands blobs of mercury that have spilled.  Tricky work, to say the least!


      “I do not think we will ever know 100 percent historical truth as it has been so badly twisted and then taught in public schools.”

      Agreed.  The good news is that there are a lot of historians around who do some pretty good research on many topics.  Bits and pieces of the truth do emerge from time to time and we can use them to help fill in the picture of things that we know.  A great deal in US schools has been colored by historical revisionists who want to see the US in a certain way and are trying to make us into their view of the world ex post facto.  Those of us who are older now remember a very different history being taught back in our day.


      “But we can continue to try our best.”

      Indeed we can and by working together, a much more clear picture of the facts can be obtained.  We are MUCH stronger when we work together for common purpose than when we go our separate ways.


      “Appreciate your comments here on SD.”

      Thank you, Agallin.  I appreciate your thoughtful comments as well and look forward to reading more of them.


  14. @Faranginkorat, yes my wife does know of this offensive. She is 42 by the way.  She tells me after the fall of Berlin, the Russian army did go after the Japanese as there was a Japanese front in the west.  This may be the offensive you mention.  She also tells me that Kuril Islands (or Kurilsky) became Russian territory after Japan surrendered.  The Japanese of course would like them back now.  My wife agrees with your number of dead.  Battle at Stalingrad was huge.  Was a huge loss of life for Russia…terrible.  I think they still have yet to recover from the loss.

Leave a Reply