The Rachman Review
China in the age of Trump 2.0
Apr 3, 2025
Jörg Wuttke, a seasoned German businessman and President of the European Chamber of Commerce, shares his deep insights into the dynamics of US-China relations. He discusses China's evolution from a backwater to a superpower, the challenges posed by US sanctions on its tech firms, and Europe's role as a trading partner. Wuttke also explores the precarious situation surrounding Taiwan, the implications of demographic changes in China, and the contrasting political landscapes of China and America under Xi and Trump.
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Quick takeaways
- China's recent advancements in technology, exemplified by DeepSeek's open-source AI model, highlight its capacity for innovation amid external pressures.
- Despite facing economic challenges like a real estate crisis and government overreach, China's economy shows signs of resilience and recovery potential.
Deep dives
The Technological Leap in China
China has recently made significant strides in technology, highlighted by the launch of an open-source AI model developed by the Chinese research lab DeepSeek, which received international attention for its capabilities. This development underscored China's ability to innovate despite challenges stemming from U.S. tariffs and sanctions aimed at curbing its technological progress. The emergence of DeepSeek signifies a potential shift in the global AI landscape, demonstrating that China can create competitive technology solutions independently of Western resources. This situation has fostered a sense of optimism within China, reinforcing the belief that it can achieve technological breakthroughs without relying on external help.
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