US Lawmakers Visit China Amid Escalating Military Tensions and Economic Challenges

American companies' decades-long strategy of sharing technology with Chinese partners for market access has been criticized as a national-level mistake that strengthened Chinese competitors, negatively impacting the broader U.S. economy and workforce. This dynamic parallels previous findings on the "China shock," highlighting the economic costs of globalization from the investment side rather than just imports. Amid this economic competition, the U.S. under President Trump faces a complex challenge balancing military rivalry with the necessity of economic engagement, as highlighted by recent high-level bipartisan congressional visits to China focused on military dialogue and economic discussions. Meanwhile, China is preparing its Five-Year Plan during a leadership conclave that addresses economic challenges partly caused by U.S. tariffs and policies. The geopolitical debate includes varied views on how to deter China's rise, whether through economic decoupling or other strategies, with significant discussions on defending Taiwan and assessing the Trump administration's approach. This environment reflects a broader shift towards mercantilist policies under Trump, aiming for economic self-sufficiency and export dominance, contrasting with traditional free-market doctrines.