Bannon: World must stop China in Hong Kongby David Llewellyn-Smith
Via The Wire comes Steve Bannon:
Q. On Thursday, Beijing announced that it was planning new national security laws that could give China’s leaders greater control over Hong Kong and undermine civil liberties in the semi-autonomous territory. This looks like a bold move by Xi Jinping and Beijing’s leaders aimed directly at anti-government protests and dissent. What’s your view of the events now unfolding in Beijing and Hong Kong?
A. Well, this is big. In December, the Senate passed and the House passed, with only one dissenting vote, the Hong Kong Freedom Act [officially known as the 2019 Hong Kong Human Rights and Democracy Act]. I think certain requirements have to be certified by the end of May, or the first of June. It’s up for certification right now. And I think it calls for a review of our underlying trade agreements [with Hong Kong]; the whole thing that makes Hong Kong such a great place for capital markets; and the underlying trade arrangements with the United States, including financial matters. Obviously, [the Hong Kong Human Rights and Democracy Act] can’t be certified now. This breaks all potential for certification. My strong recommendation is [for the U.S.] to go as hard-core as possible. You pull that immediately. Pull all the underlying trade arrangements we have. Also we stop and limit any activity with the [state-owned] Bank of China, or any mainland Chinese banks. The Bank of China is right there [in Hong Kong]. You restrict all activity with their money centered banks and the United States. Additionally, you go to immediate sanctions; you sanction the individuals, including the Foreign Ministry guys. And if the Politburo passes this, you go to immediate sanctions on those individuals too.
We should call a [UN] Security Council meeting immediately and dare China, as a permanent member, to block it. The world community ought to do this. On Monday morning, a holiday, the President’s got to call a Security Council meeting and dare China to fight it. This is exactly like [what happened to] Czechoslovakia and Austria. We’re in 1938. For Hong Kong, this is that moment. If we blink, we’re heading on a path to war, to a kinetic war, if we don’t stop it right now. The elites are going the wrong way. This is not a cold war. This is a hot information and economic war, and we’re sliding rapidly. We are inexorably going to be drawn into an armed conflict if we don’t stop this now. Now, I’m all for using multilateral institutions. But the United States has to stand up here. Yesterday, the Canadians, British and Australians put out a joint statement. It’s now time to take it to the UN Security Council. This is an abrogation of a treaty that was signed, and essentially ratified by the United States Senate. We did backup legislation for this.
And on it runs. A must read.
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David Llewellyn-Smith is Chief Strategist at the MB Fund and MB Super. David is the founding publisher and editor of MacroBusiness and was the founding publisher and global economy editor of The Diplomat, the Asia Pacific’s leading geo-politics and economics portal.
He is also a former gold trader and economic commentator at The Sydney Morning Herald, The Age, the ABC and Business Spectator. He is the co-author of The Great Crash of 2008 with Ross Garnaut and was the editor of the second Garnaut Climate Change Review.
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