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  • Writer's pictureXiaodong Fang

The Free World Shoud Take Serious Actions to Defeat China's Economy Threats

In recent years, China has become a dominant force in the global economy, and its rise has caused concern among many Western countries. Many evidence have shown that China poses a threat to the free world, particularly in terms of economic competition or even coercion. The Chinese government has posed economic threats to the free world in several important areas, including its state-sponsored industrial policies, intellectual property theft, and unfair trade practices.

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State-Sponsored Industrial Policies

One of the ways in which China poses an economic threat to the free world is through its state-sponsored industrial policies. China's government provides significant financial support to certain industries, often through subsidies, tax breaks, and low-interest loans. This support allows Chinese companies to undercut their foreign competitors, particularly in high-tech industries.

For example, China's "Made in China 2025" policy aims to make China a world leader in advanced manufacturing, including robotics, aerospace, and biotechnology. This policy provides significant financial support to companies in these industries, including subsidies for research and development, land and tax breaks, and preferential treatment in government procurement. These policies have helped Chinese companies like Huawei, ZTE, and DJI become global leaders in their respective industries.

However, China's state-sponsored industrial policies are often discriminatory and violate international trade rules. For example, China's "indigenous innovation" policy requires foreign companies to transfer their technology to Chinese partners in order to do business in China. This policy violates the World Trade Organization's (WTO) rules on intellectual property protection and has been criticized by many Western countries.

Intellectual Property Theft

Another way in which China poses an economic threat to the free world is through intellectual property theft. China has been accused of stealing intellectual property from foreign companies, particularly in the tech sector. This theft includes the theft of trade secrets, counterfeiting of goods, and forced technology transfer.

China's theft of intellectual property harms both Western companies and consumers. It allows Chinese companies to produce cheaper knock-off versions of Western products, undercutting the sales of the original companies. This theft also harms consumers by exposing them to substandard and potentially dangerous products.

China's intellectual property theft is not only a violation of international law, but it also undermines the innovation and creativity that drives economic growth in the free world. Without strong intellectual property protection, companies have little incentive to invest in research and development, which stifles innovation and hurts the global economy.

Unfair Trade Practices

Finally, China poses an economic threat to the free world through its unfair trade practices. China has been accused of dumping, which involves selling products at artificially low prices in foreign markets to gain market share. This practice is illegal under WTO rules and harms domestic industries in other countries.

China has also been accused of manipulating its currency to gain a competitive advantage in international trade. By keeping its currency artificially low, China can sell its products at lower prices in foreign markets, making it difficult for foreign companies to compete. This manipulation has been criticized by many Western countries and has led to tensions in international trade relations.


China's economic threats to the free world are significant and multifaceted. China's state-sponsored industrial policies, intellectual property theft, and unfair trade practices all harm the global economy and undermine the principles of free trade.

Addressing these threats will require a coordinated international effort, including stronger intellectual property protections, enforcement of WTO rules, and diplomatic engagement to press the Chinese government to obey international laws. Failure to address these threats could have serious consequences for the global economy and the future of the free world.

Also, I strongly call on Western governments to relatively impose certain sanctions on the Chinese authorities not only for the economic threats, but also as a response to their human rights abuses and other illegal practices.


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