It seems that USA is now in serious conflict with China over a number of issues. Some of the issues are political and some are purely business related matters. Now, Chinese government is very angry that Obama is meeting with Tibetan spiritual leader Dalai Lama. This is perhaps one of the few problems that have put the US-China relationship in a lot of tension in the last few days.
The bad relationship of this time started with the announcement of Google that it suffered hacking attempts in China and it was pulling out of business out of China unless Chinese government decided to stop censoring the search results. In other words, Google wanted China to open up its internet and it is perhaps impossible because Beijing is run by a communist government.
Hillary Clinton, who is the secretary of states of USA, publicly supported Google and criticized Chinese administration for their censorship. This did not go well in China.
Then was the issue of selling weapons to Taiwan. More than anything, Chinese leaders got very annoyed with this matter. They even threatened to take actions against the US companies who would sell weapons to Taiwan. The permission to sell the weapons to Taiwan came from Obama and it was $6.4 billion worth of business. We know the history between China and Taiwan and we also know about the US involvement about the whole problem.
US government is also annoyed with some economic issues. For example, America wants Beijing to open up its market for foreign goods. Another matter that American leaders want very deeply is that Chinese government carries out some kind of appreciation to their currency Yuan. The price of currency in China is controlled by the government and China has kept the currency under actual value to support its export efforts. As a result, Chinese products are cheaper in other countries.
USA is also unhappy with China’s close relationship with Iran. USA wants to isolate Iran from the rest of the world but China is not with Washington in this matter. China has also announced that it will not appreciate the currency and will go on the way that helps its own people.
In the past, we have noticed that relationship between China and USA was not very good but both the countries continued doing business because they both need each other. So, I don’t see any kind of big conflict or crisis happening with the current bad relationship between Washington and Beijing.
