The Biden administration should back off from the confrontation with Beijing, as targeting Chinese companies have not only proved ineffective, but may also backfire on US businesses, Professor Richard Wolff believes.
In the latest episode of RT’s Boom Bust, the author of ‘Understanding Socialism’ and the host of Economic Update, said that the US’ policies targeting Huawei simply have not worked, as the telecoms giant is doing fine, despite attempts to block its access to software and vital components.
“We in the United States are losers by this,” Wolff said. “Other companies are going to think long and hard before buying American exports, worried that somebody will cut them off when they really need them.”
He added that such a “dangerous” precedent may prevent future investment in the US. Moreover, China may retaliate and do the same to American firms operating in its territory.
“It seems to me a very short-sighted, self-inflicting wound kind of policy [that] I hope the Biden administration rethinks [from the] bottom up,” he said.
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