Classical Chinese military strategy says the best general wins the war without engaging troops on the battlefield. This informs Beijing’s economic aggression against the U.S. – bankrupting America’s industries will cripple the U.S. militarily without firing a shot.
As part of that campaign, Beijing subsidizes its state-owned and state-controlled companies to give them an advantage over American competitors that play by profit-and-loss free-market rules.
Favored companies receive free electricity, free land, free money, low- or no-interest loans, free buildings and even free labor, provided by prison inmates.
These subsidies allow China to flood our markets with below-cost steel, aluminum, synthetic fibers and other products so they can steal market share from honest American companies.
Beijing is notorious for using export subsidies to grab the “high ground” of new and emerging technologies, including green technology.