China is stockpiling – we must do the same
China is increasing stockpiles of essential commodities to prepare for geopolitical tensions, particularly regarding Taiwan, while modernizing its military and focusing on green technology and self-sufficiency.
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China is significantly increasing its stockpiling of essential commodities, including minerals, fuel, and food, amid concerns over potential geopolitical tensions, particularly regarding Taiwan. The country aims to solidify its position as a leader in the green revolution, focusing on electric vehicle production and renewable energy technologies. This strategy is seen as a response to the possibility of a more confrontational U.S. policy under a potential Trump administration, which could lead to a blockade of Chinese shipping routes. China's stockpiling efforts reflect a broader strategy to prepare for economic and military challenges, drawing parallels to historical instances of siege mentality. The country has expanded its storage capabilities for key agricultural products and minerals, indicating a proactive approach to ensure self-sufficiency and readiness for potential conflicts. As China modernizes its military, it is also investing heavily in securing the raw materials necessary for its defense and technological advancements. The article suggests that other nations should respond by bolstering their own reserves and competing more aggressively in critical resource markets, particularly in the lithium-rich regions of South America. The urgency of these actions is underscored by Xi Jinping's ambitions for Taiwan, with 2027 being highlighted as a pivotal year for potential reunification efforts.
- China is stockpiling essential commodities in preparation for potential geopolitical tensions.
- The stockpiling strategy is linked to ambitions in the green technology sector and military modernization.
- Concerns over U.S. policy under a potential Trump administration are influencing China's actions.
- Other nations are encouraged to enhance their own resource reserves and compete in critical markets.
- Xi Jinping's timeline for Taiwan reunification is seen as a motivating factor for China's preparations.
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9 commentsWhere is the number from? Stockholm International Peace Research Institute estimates China's military expenditure in 2022 to be $292.0 billion, trailing $877.0 billion of US. (source: [Wikipedia](https://en.wikipedia.org/wiki/Military_budget_of_China))
There are not a lot more numbers (let alone numbers with sources) in the article. China has a lot of EV batteries because it is leading in promoting EV usage. It stockpiles a lot of agricultural products because, well, there are a lot of mouths to feed.
We have two broad choices
- brutally suppress development in these countries to remain 'top dog' or
- continue to build those international structures that were founded after the second world war - like the UN, that were designed to stop a repeat of WWII.
I fear the current approach of unpicking international norms and constraints in order to be able to do more of option 1 is leading us to WWWIII, not protecting us from it.
[1] If we don't take option 1 above.
Meanwhile PRC trade surplus huge -> PRC USD reserves huge -> USD is strong and commodity prices not too whack due to global slow down.
Why not stock up now? Eventual global recovery could trigger expensive commodity super cycle. Would it be helpful in war, sure. But PRC needs to build up nukes first, going to take a few years for 50% parity.
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