August 30, 2023
As China Tensions Bubble, a New Economic Weapon of Choice Has Emerged
U.S. Commerce Secretary Gina Raimondo’s trip to China this week underscores an important shift in how Washington is engaging with the world. After decades of U.S. policy aimed at ensuring open market access, “de-risking” the U.S. economy from China has become the animating principle of Congress and the White House. The U.S. government’s economic tools of coercion are evolving to effect this outcome, from a historic reliance on sanctions to a new economic weapon of choice: export controls.
The Russia export restrictions epitomize the highs and lows of this new regime.
The shift is not academic. Export controls were traditionally important mainly to providers of defense components that were deemed “dual use,” or valuable for both civilian and military applications. Now, export controls will impact a vast new set of companies. Businesses will need to overhaul their Washington engagement strategies to navigate this new dynamic.
Read the full article from Barron's.
More from CNAS
-
CNAS Insights
Energy, Economics & Security / Technology & National Security
CNAS Insights | The Nvidia Scandal Is a Wake-Up Call for CongressNvidia founder and CEO Jensen Huang has resigned amid revelations of extramarital affairs, including with an alleged Chinese spy. The suspected Chinese asset, Alice Huang, has...
By Emily Kilcrease & Vivek Chilukuri
-
CNAS Insights
Defense / Indo-Pacific Security / Transatlantic Security / Middle East Security / Energy, Economics & Security
CNAS Insights | National Security Agenda in the New Congress: A 10-Item To-Do ListWhen Democratic majorities sweep into Congress in January, Washington will return to divided government. The prospect of stalemate will be real, with Democrats prone to opposi...
By Richard Fontaine
-
What Would a Democrat Midterm Win Mean for U.S. Foreign Policy?
Video
The midterms will shape the direction of US foreign policy in the next two years with pressures from competition with China, to Israel and the war with Iran. Liza Tobin [adjun...
By Liza Tobin
-
Getting U.S. Trade Deals To Spur Economic Security Co-Operation
Commentary
One lesson is that simply writing a binding promise to align with US economic security measures into a trade deal provides no guarantee of on-the-ground policy alignment....
By Geoffrey Gertz
