OK, I admit it – the title of this post is a bit misleading. I’m not predicting any catastrophic event 60 days from now but this is something to think about:
What if China stopped all trade with the United States?
We know that China is one of the biggest trading partners of the United States and the US imports a ridiculous amount of goods from China. Any sudden stop in trade between the two countries would have a disastrous impact on the US economy.
If trade with China were to suddenly stop, the US economy would experience a severe and sudden shock. One of the most immediate results would be an increase in the prices of these imported goods. With the immediate decrease in available supply, prices would skyrocket as people scrambled to get what they could knowing that once it was gone there’s no telling when it would be available again. Think about all the videos we’ve seen of people fighting over Black Friday TV deals. This would be 100X worse.
The healthcare system would be negatively affected by a lack of trade with China. A significant portion of raw materials for prescription drugs are manufactured in China, and any disruption to the supply chain could lead to shortages of critical medications. This would have severe consequences for people who depend on these drugs to manage chronic illnesses, leading to a decline in health and an increase in healthcare costs. Imagine loved ones of family members who depend on certain drugs and how they would react as loved ones deteriorate and suffer without their medication.
Businesses that depend on imports from China would be severely affected by this sudden stop in trade. This includes businesses that sell products that are manufactured in China, as well as those that rely on raw materials and components from China. Without access to these goods, businesses would struggle to maintain their supply chains, which would lead to production delays, shortages, and laying people off due to a lack of sales support for those jobs. Unemployment would skyrocket.
Additionally, businesses that rely on exports to China would also be affected by a sudden stop in trade. China is one of the biggest markets for US goods and services, and any disruption to trade would lead to a significant decrease in exports, which would negatively impact the economy and fuel a continued increase in unemployment.
As millions of families experience a massive decrease in available funds and struggle to pay for housing, buy essential food, and default on car payments and credit accounts the economy would spiral downward into the abyss. Churches would be overwhelmed by those who failed to prepare and the government would scramble to come up with some “Critical Family Relief Bill” to quell growing anger in the populace. No doubt protests and rioting would start to surge across the country and crime would spread like a wildfire.
Overall, a sudden stop in trade with China would have a severe and far-reaching impact on the US economy. It would lead to inflation, a decrease in consumer spending, shortages of critical medications, and disruptions to businesses across the country. A complete collapse of the American economy would be a distinct possibility. The solution to this potential problem is making MADE IN AMERICA a priority starting today! American manufacturing companies must receive the preferential treatment from the United States government they deserve.
So for those of us(you and me) that know the potentially catastrophic impact of a conflict with China, what do we do?
Stay tuned as we are going to talk about the steps we can take NOW to prepare for the New Great Depression.
Until next time – take care all!!
Rourke
Well, if you are taking pharmaceuticals you are doing it wrong already. We are already toast as the petrodollar is dead. My case couldn’t be more catastrophic as my home was massively damaged and livelihood taken from me Sept 28th when the Gulf of Mexico occupied my home destroying everything including my charter boat. Not a great time to happen considering my 63 years in this world and the communist takeover. The one good thing I have going for me is that Yuengling is brewed in America for Americans and I did manage to keep my powder dry. 😉
I get it CaptTurbo. I’m on several medications that are not life-threatening if I come off them but they are beneficial. Diet and exercise would certainly go a long way to ween me pharmaceuticals-free. Hang in there buddy. Keep moving forward!
Made in America! A great idea, but it ain’t gonna happen. Our existing jobs are being sent overseas daily, let alone bring any jobs back. Don’t believe me? Call customer service sometime. You will be talking to someone in India!
I agree Bruce. People will not understand that we should have prioritized manufacturing in America until those products that are only made overseas disappear. “Free trade” has been anything but.
We better seen ourselves off of China slowly or our country will suffer badly. Right now they can hold us hostage on a lot of fronts. Our politicians and corporate greed have sold the farm from under us.
Truth JohnP. I don’t see it happening until we are forced to. The events that cause that situation to happen will be worse than 99% of the population is prepared to deal with.
We’re heavily in debt to China, and they were allowed to buy up large chunks of our land. I don’t see this ending well.
Agree, SingleMom. Our “leaders” have done a piss poor job at ensuring security in our own country. Chinese companies are coming in buying up land right next to military bases. Insanity!
You only address one side of this coin. If China stops trading with their largest trading partner, then their own economy will collapse as well. Does the CCP really want 1.2 billion hungry Chinese, I think not. The US would survive far better in the two countries stopped all trade, but it would still be painful none the less.
Jimmy – I can’t entirely agree that China’s economy would collapse. Years ago I would have agreed. China has been diversifying its export trade partners and now the United States represents only around 16% of their total exports. This puts the United States much more dependent on China than vice versa. Let’s hope we don’t find out but its not looking good.
SingleMon,
We owe far less to China than to the Federal Reserve. China isa distant number 3 after the Social Security Trust Fund and Federal Reserve. Guess what will be cut before China?
Our selected officials are more interested in their portfolios than our country so jobs coming back to America will not happen. As for the petrodollar, the world is sick of the U.S. bullying and B/S and debt so the they are dumping the dollar. say goodby to the world reserve currency. All those dollars will come flooding back to the states. hello Hyperinflation. Not to mention the 31 Trillion debt. America is already a third world country. The only reason it has not been realized is we are allowed to continue the borrowing. Yea, lets raise the debt ceiling…..again. A major collapse is coming and there is little we can do to stop it and the current political climate seems not to care. We are screwed!