"China's share of Australian exports have reached an all-time high, rising to 48.8 per cent and driving the 30th consecutive monthly trade surplus to $8.2 billion.(AFR Aug 2020)
Given that , what is your decoupling strategy without bankrupting Australia.
Mine is simple: Build 2 mega steel smelters/mills, diversify trade away from China, add Aussie value & lift trade surplus & GDP to benefit all Aussies.
Had we done this in 2014 when China announced its "Made In China 2025" & its OBI, we would be 'cooking with coal" so to speak now but of course since then we have had a Government that believes in following the market (not lead it) and to which economic planning is alien. Follow the market is code for following the market leaders who are foreign owned multinationals.
To wean us of economic dependance and ultimately decouple from China would take at least 6 years, IMO, and Mega $s loans from the USA (not equity).The question to the USA is how much more would they pay for Aussie steel above what they are paying China now? IMO, not much! The US is big on ideology but shy on offering loans.....they like equity ands evidenced by US ownership of Aussie Big Business!
Given your interest in BHP, RIO & FML , why are you advocating decoupling from China when up to 70% of their of their respective exports are to China? At present a decoupling from China for these big 3 would virtually bankrupt them because it would take at least a decade for Korea, Japan & Tiawan to gear up to replace China's current demand, IMO.
While Trump barrackers on these threads are applauding his anti-China stance, few have actually looked at what he is doing: -he simply bunged on tariffs on Chinese imports (tax collection) without an industrial plan to domestically manufacture in the USA -He is selling more Farm produce to China post his January Ag deal ( not what you'd call starving out the Chinese ..eh?) and the losers are .......wait for it: ..........our Aussie farmers!
The USA has always needed a propaganda enemy in order to maintain internal unity: -The Poms -The Spansh -The French -Germany (WW1 & 2) -North Korea (USSR) -USSR ( Communist Party) -Vietnam (CCP & Communism) -M/E ( War on Terror) -China (CCP)
Who's next? -Denmark ????(Uncle Sam wants Greenland !)
