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It's a war of words between US and China China is now accusing -- the united states of attacking two Chinese military web sites.
After report -- US security firm alleged China was behind hacking attacks on US -- well now we've got someone who says the US.
Is financially supporting China's activity he's got a way to end the cyber war joining me Scott called his.
From -- -- -- -- American manufacturing.
He's the president of that organization Scott good to see.
Are living with today but let's just get right to -- is in what way what possible way.
Could the US be supporting the Chinese attacks on US business.
Well -- that the Chinese military and government gets money some way and one of the primary ways they get it is through our trade deficit we have.
Billion dollar annual trade deficit with China.
I -- that cost United States and jobs -- our manufacturing base and it enriches the regime in Beijing so.
Like that are not thought our economic policies.
Have all brought trillions of dollars into Chinese -- errors and -- -- -- in this possibly.
Gotcha I gotcha but -- the other hand for American consumers it's a great deal I mean there are tons of things just about.
Half of the things that we buy and used -- art manufactured in China at a very cheap price -- that makes -- good for consumers so we wanna start a trade war we don't wanna cut off.
There -- there exports to the United States do -- Well I don't think this is a by -- proposition either we trade with China we don't trade with China I think that we have to be serious about the terms.
Under which we trade with China and and unfortunately were not.
-- China has been in in part of them a broader kind of free trade arrangement it's not a free trade agreement but for about the last dozen years.
And we just simply haven't held China accountable when it cheeks wet -- deals -- specifically charming as we don't have much time insurer but specifically what would you like to do in what way would you hold them accountable that they're not being held now.
It absolutely I think that we need to impose trade sanctions -- number one -- -- get it doesn't mean cutting off trade.
But -- date depend on access to our market to keep people employed in China and they don't want to lose that either so.
My message is that unless you show Beijing that you -- Syria us.
They are gonna take you seriously what kind of sanctions again this could cost and -- -- -- consumers quite a bit here.
We're already facing higher prices at the grocery store we want and don't want to have the same thing happen elsewhere.
You bet -- the fact is that we're not dependent on China for a lot of stuff in particular we do get a lot of imports from many.
But less developed by countries there's very little that we could actually do without if we needed to.
I mean it might create a crunch for -- big box retailers like Wal-Mart and what have you.
But the actual impact on our economy would be very -- where -- it sounds like you're talking about it sounds like Scott you're talking about an overall.
Sanction against goods coming from China you gotta be specific.
Well there's a number of ways to structuring you can certainly penalize China.
For our -- if for specific products where we know that it's cheating and it does that on a number of ways for its currency force intellectual property.
To hit them where it counts on some of these technology products.
They won't pay attention if they start losing access to our market there will not be a trade war because Chinese to keep these lines open as well we need to tell them that we're serious about.
That the sanctions and about stopping the cybercrime subsidies cyber crimes are costing American companies about 300 billion dollars a year in lost intellectual capital so it is it is usually expensive for American terms -- we can get them specifically on that.
I'm with you if it's a broad -- trade war.
That that scares me as well but Scott we thank you for coming -- -- Paul good to see it.
Thank you didn't.