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China’s new Unreliable Entity List seems to be an echo of US actions. But while the list looks like a potentially lethal tool, it has to be wielded prudently in order not to hurt China’s economy or cause anxiety. Zaobao correspondent Yang Danxu examines the factors involved.

Despite US efforts to reduce reliance on China and decouple from it, the process will not be easy, given China’s enormous economic influence. Even with countries such as Vietnam trying to take China’s place as the “world’s factory”, their capacity is limited. However, this does not mean that China’s position is assured, as other countries are noticing China’s penchant for using its economic might as a bargaining chip.

For all of President Trump’s failings, says US academic Han Dongping, he did persist in his belief that the US has over-extended itself abroad and sought ways to pull it back. Whoever becomes the US president next will have to recognise that the US’s global role has changed irrevocably since 1945.

After a brief softening of its stance towards the US, China seems to be hardening its rhetoric again. Zaobao correspondent Yang Danxu says this has much to do with President Xi Jinping’s clear message not to trifle with the Chinese Communist Party’s bottom line — relations between the party and the people are sacrosanct.

​After days of delay, the US and China reviewed their phase one trade agreement in a telephone call on 25 August. Both sides sidestepped the question of recent US actions against Chinese companies, but there is no guarantee that this uneasy truce will hold up as the 2020 US presidential race intensifies.

The US seems to think that China is the old Soviet Union, and worse, that it has been disingenuous and is only showing its true colours now. Given testy relations, China is waiting it out until the US presidential election in November. But even if there is a new president from the Democratic Party in the White House, will China’s woes recede?

With its “China DNA” and despite its popularity, TikTok may end up being blocked in the US and eventually elsewhere in the world. Will its discussions with Microsoft work out? Or will it have to pull out of the US? And beyond TikTok, what does this episode mean for Chinese companies in the process of internationalising their businesses?

In the current political climate, the possibility of a phase two trade deal between China and the US is practically a non-starter. So be it, says Zhu Ying. China has shown that it wants to walk its own path, and will probably do so even more resolutely as it bristles at criticism of “socialism with Chinese characteristics”.

Hong Kong commentator Chip Tsao notes the “adulterous” relationship between Silicon Valley tech companies and China, the inevitability of technology transfer, and the US government’s naive demand for parity in all its dealings with China.