Global Collapse Incoming? The Total Breakdown Of Relations With China Could Throw Our Planet Into Utter Turmoil

We just witnessed one of the most monumental events of the entire decade, and yet most Americans still don’t understand what has happened. In recent months, the global economy and stock markets around the world have been buoyed by the hope that the U.S. and China would soon sign a new trade agreement. Unfortunately, there is no way that is going to happen now. On Tuesday, the Senate unanimously passed the “Hong Kong Human Rights and Democracy Act of 2019”, and the House of Representatives passed the same bill by a 417 to 1 vote on Wednesday. Needless to say, the Chinese are beyond angry that Congress has done this. In part one of this article, I showed that China is warning the U.S. to “rein in the horse at the edge of the precipice” and that there will be “revenge” if this bill is allowed to become law. And it looks like this bill will actually become law, because Bloomberg is reporting that President Trump is fully expected to sign it…

President Donald Trump is expected to sign legislation passed by Congress supporting Hong Kong protesters, setting up a confrontation with China that could imperil a long-awaited trade deal between the world’s two largest economies.

Before I go any further, there is something that I want to address. Earlier today, one of my readers emailed me and accused me of siding with China because I am warning about what will happen if trade negotiations fail. Of course that is not true at all. I have been writing about the horrific human rights abuses in China for many years, and they are one of the most tyrannical regimes on the entire planet today. But our two economies have become deeply intertwined over the past two decades, and there are going to be very serious consequences now that we are rapidly becoming bitter enemies. Anyone that doesn’t see this is simply not being rational.

As I have detailed repeatedly in recent months, the global economy has already entered a very serious slowdown. One of the only things that could reverse our economic momentum in the short-term would be a comprehensive trade agreement between the United States and China. But now that our relationship with China has been destroyed, there isn’t going to be a deal.

Some mainstream news sources are reporting that all of this rancor about Hong Kong could delay a trade deal, but that is just more wishful thinking.

Over in China, they are being much more realistic. In fact, the editor of the Global Times, Hu Xijin, just said that the Chinese are “prepared for the worst-case scenario

Few Chinese believe that China and the US can reach a deal soon. Given current poor China policy of the US, people tend to believe the significance of a trade deal, if reached, will be limited. China wants a deal but is prepared for the worst-case scenario, a prolonged trade war.

And he followed that up with another tweet that openly taunted U.S. farmers

So a friendly reminder to American farmers: Don’t rush to buy more land or get bigger tractors. Wait until a China-US trade deal is truly signed and still valid six months after. It’s safer by then.

As the two largest economies on the entire planet decouple from one another, it is going to cause global economic activity as a whole to dramatically slow down. Corporate revenues will fall, credit markets will start to tighten, and fear will increasingly creep into global financial markets.

I have repeatedly warned that conditions are ideal for our first major crisis since 2008, and this conflict with China could be more than enough to push us over the edge.

And already we are getting more bad economic news day after day. For example, we just learned that U.S. rail traffic this month is way down compared to last year

Nowhere is the slowdown in the U.S. economy more obvious than in places like Class 8 Heavy Duty Truck orders and rail traffic. We already wrote about how Class 8 orders continued to fall in October and new data the American Association of Railroads (AAR) now shows that last week’s rail traffic and intermodal container usage both plunged.

The AAR reported total carloads for the week ended Nov. 9 came in at 248,905, down 5.1% compared with the same week in 2018. U.S. weekly intermodal volume was 266,364 containers and trailers, down 6.7% compared to 2018, according to Railway Age.

Unless a miracle happens with China, the economic numbers are going to continue to get worse.

Sadly, a miracle seems exceedingly unlikely now. As I pointed out in part one, the only way that our relationship with China can be fixed is if Congress repeals the bill that it just passed, and there is no way that is going to happen.

And we better hope that our trade war with China doesn’t escalate into a real war at some point.

According to a report that was released earlier this year, we are very ill-prepared to fight any sort of a conventional war with China in the Western Pacific…

The University of Sydney’s United States Studies Centre’s new report Averting Crisis, said: ‘China’s growing arsenal of accurate long-range missiles poses a major threat to almost all American, allied and partner bases, airstrips, ports and military installations in the Western Pacific.

‘As these facilities could be rendered useless by precision strikes in the opening hours of a conflict, the PLA missile threat challenges America’s ability to freely operate its forces from forward locations throughout the region.’

In addition, U.S. military officials are deeply concerned by how rapidly China has been upgrading their strategic nuclear arsenal. For example, they now possess a “submarine-launched missile capable of obliterating San Francisco”

China has tested a new submarine-launched missile capable of obliterating San Francisco, an insider has revealed, in a massive boost to the country’s ‘deterrent’.

The Chinese navy tested its state-of-the-art JL-3 missile in Bohai Bay in the Yellow Sea last month, sources said.

The nuclear-capable missile has a 5,600 mile range, significantly longer than its predecessor the JL-2, which could strike targets 4,350 miles away.

We certainly aren’t at that point yet, but without a doubt the Chinese now consider us to be their primary global enemy.

For the moment, it is just a “cold war” that we are facing, and the Chinese are quite adept at playing global chess. They have lots of ways that they can hurt us, and most Americans don’t realize this.

But in the end nobody is going to “win” this conflict, and the entire planet is going to suffer.

Collectively, the economies of the United States and China account for approximately 40 percent of the GDP of the entire world.

As we cause chaos for one another, everyone else is going to experience tremendous pain as well.

The stage is set for a global nightmare, and at this point it doesn’t appear that there is a way that we will be able to escape it.

About the Author: I am a voice crying out for change in a society that generally seems content to stay asleep. My name is Michael Snyder and I am the publisher of The Economic Collapse Blog, End Of The American Dream and The Most Important News, and the articles that I publish on those sites are republished on dozens of other prominent websites all over the globe. I have written four books that are available on Amazon.com including The Beginning Of The End, Get Prepared Now, and Living A Life That Really Matters. (#CommissionsEarned) By purchasing those books you help to support my work. I always freely and happily allow others to republish my articles on their own websites, but due to government regulations I need those that republish my articles to include this “About the Author” section with each article. In order to comply with those government regulations, I need to tell you that the controversial opinions in this article are mine alone and do not necessarily reflect the views of the websites where my work is republished. This article may contain opinions on political matters, but it is not intended to promote the candidacy of any particular political candidate. The material contained in this article is for general information purposes only, and readers should consult licensed professionals before making any legal, business, financial or health decisions. Those responding to this article by making comments are solely responsible for their viewpoints, and those viewpoints do not necessarily represent the viewpoints of Michael Snyder or the operators of the websites where my work is republished. I encourage you to follow me on social media on Facebook and Twitter, and any way that you can share these articles with others is a great help.

The Red Horse Is “At The Edge Of The Precipice” As China Threatens The U.S. With “Revenge” For Siding With The Hong Kong Protesters

A new “cold war” has officially begun, and it could potentially throw the entire world into a state of chaos. As you will see below, China is warning the U.S. to “rein in the horse at the edge of the precipice” as the conflict between our two nations threatens to spiral out of control. This week, the Senate and the House of Representatives both passed the “Hong Kong Human Rights and Democracy Act of 2019”, and this new law is essentially a public declaration that the U.S. government fully supports the protesters in Hong Kong. For the past five months, violent protests have been rocking the streets of Hong Kong, and this week we witnessed the worst violence yet. Hong Kong police conducted an extended siege of protesters that were holed up at a university campus, and the horrific human rights violations have shocked the whole planet. Since the beginning of the siege, hundreds of protesters have been injured and more than 1,000 of them have been arrested. It is a major crisis, and our representatives in Congress felt compelled to do something.

But to the Chinese, this move by Congress is being viewed as a direct intervention in their internal affairs. The protesters in Hong Kong want independence from China, and that is a very noble goal, but the communist Chinese government will never, ever allow that to happen. For Chinese leaders, the status of Hong Kong is something that must never be questioned, and so when the U.S. Congress publicly sided with the protesters it felt like an insult to their national honor. In essence, over in China this new law is being viewed as a direct assault on Chinese sovereignty, and it has created a tremendous uproar.

But here in the United States, most Americans don’t even know that the “Hong Kong Human Rights and Democracy Act of 2019” was unanimously passed by the Senate on Tuesday and then passed by a vote of 417 to 1 in the House of Representatives on Wednesday.

In fact, the mainstream media is so obsessed with covering the impeachment proceedings that they have devoted very little coverage to what Congress just did.

But the truth is that this is one of the biggest news stories of the entire decade.

And the fact that Republicans and Democrats were united on this issue is a very big deal. The following is what Nancy Pelosi had to say after the bill was passed by the House…

“The Congress is sending an unmistakable message to the world that the United States stands in solidarity with freedom-loving people of Hong Kong and that we fully support their fight for freedom,” Speaker Nancy Pelosi said on the House floor. “This has been a very unifying issue for us.”

Reuters is reporting that President Trump is expected to sign the bill, and even if for some reason he didn’t there are more than enough votes to override any veto.

What this means is that the next election is not going to change anything. Siding with the Hong Kong protesters will still be official U.S. policy no matter who wins in 2020.

Needless to say, the Chinese are extremely angry about this new law, and the official newspaper of the ruling communist party is warning that the U.S. needs to “rein in the horse at the edge of the precipice” and that China will soon “take resolute revenge”

On Thursday, the ruling Chinese Communist Party’s main newspaper, the People’s Daily, urged the United States to “rein in the horse at the edge of the precipice” and stop interfering in Hong Kong matters and China’s internal affairs.

“If the U.S. side obstinately clings to its course, the Chinese side will inevitably adopt forceful measures to take resolute revenge, and all consequences will be borne by the United States,” it said in a front-page editorial.

And Chinese Foreign Ministry spokesperson Geng Shuang is warning that the U.S. should brace for “strong countermeasures”

China “condemns and firmly opposes” the legislation that Trump plans to sign, according to a statement from Foreign Ministry spokesperson Geng Shuang after Tuesday’s Senate vote.

“The U.S. should immediately stop interfering in Hong Kong affairs and China’s other internal affairs, or the negative consequences will boomerang on itself,” the statement said. “China will have to take strong countermeasures to defend our national sovereignty, security and development interests if the U.S. insists on making the wrong decisions.”

We aren’t just talking about a trade war anymore. The Chinese now view us as enemy number one, and they are going to play hardball.

I wish that I could get everyone to understand how serious this is. Most Americans couldn’t care less about what happens over in China, but the Chinese have been steaming about U.S. interference in their affairs for months.

In fact, the Chinese government was accusing the U.S. of being behind the Hong Kong protests all the way back in July

“As you all know, they are somehow the work of the US,” Foreign Ministry spokeswoman Hua Chunying said at a press conference in Beijing.

Hua added that China would “never allow any foreign forces” to interfere in the semi-autonomous city, and warned that “those who play (with) fire will only get themselves burned.”

Of course the U.S. denies being behind the protests, but now that the U.S. Congress is publicly supporting the protesters it really doesn’t matter.

To the Chinese, it certainly looks like the U.S. is trying to encourage civil unrest in Hong Kong, and for them that crosses a red line that should have never been crossed.

The only way that our relations with China could be repaired now would be if Congress voted to repeal this new law, and that simply is not going to happen.

So that means that this new “cold war” is here to stay, and we better hope that it doesn’t turn into a “hot war”.

The Chinese do not forgive, and they do not forget. As this new “cold war” escalates, they are going to try to make us hurt every way that they can, and most Americans have absolutely no idea what that could possibly mean.

I will publish the second part of this article on The Most Important News later tonight, and in that article I will discuss some of the economic implications of this move that Congress just made.

Yes, supporting the protesters in Hong Kong is certainly a noble thing to do. But by publicly insulting China’s national honor and directly assaulting China’s sovereignty over Hong Kong, Congress has set in motion a chain of events that nobody is going to be able to control.

About the Author: I am a voice crying out for change in a society that generally seems content to stay asleep. My name is Michael Snyder and I am the publisher of The Economic Collapse Blog, End Of The American Dream and The Most Important News, and the articles that I publish on those sites are republished on dozens of other prominent websites all over the globe. I have written four books that are available on Amazon.com including The Beginning Of The End, Get Prepared Now, and Living A Life That Really Matters. (#CommissionsEarned) By purchasing those books you help to support my work. I always freely and happily allow others to republish my articles on their own websites, but due to government regulations I need those that republish my articles to include this “About the Author” section with each article. In order to comply with those government regulations, I need to tell you that the controversial opinions in this article are mine alone and do not necessarily reflect the views of the websites where my work is republished. This article may contain opinions on political matters, but it is not intended to promote the candidacy of any particular political candidate. The material contained in this article is for general information purposes only, and readers should consult licensed professionals before making any legal, business, financial or health decisions. Those responding to this article by making comments are solely responsible for their viewpoints, and those viewpoints do not necessarily represent the viewpoints of Michael Snyder or the operators of the websites where my work is republished. I encourage you to follow me on social media on Facebook and Twitter, and any way that you can share these articles with others is a great help.

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