Hey Peter and Varro here the latest podcast and Substack here we go the eve of

apples and Tesla's red China destruction American CEOs who succumb to the lure of Communist China sweatshops, pollution havens,

and massive government subsidies inevitably lose not just their souls.

They eventually surrender their companies.

Apple's CEO Tim Cook and Tesla's Elon Musk are just the latest in a long line of American

dupes now learning this harsh lesson.

A lesson they should have learned long ago

from General Electric's former CEO Jeff Emelt.

In 2001, Communist China joined the World Trade Organization, the WTO, and immediately began to bludgeon

blue-collar America with its weapons of job destruction, I.P. theft, currency manipulation, massive government subsidies,

state-owned enterprises, etc.

Iml took over the reins of GE that very same year from the venerable Jack Welch and soon began

offshoring GE production to China. It was a big bet many American CEOs were putting down

on Communist China along with Emmill.

Yet it was truly a suckers bet bound to go bust.

As a matter of Mercantilous government policy, it's all there in Chinese state documents for any American CEO to read,

China uses its honeypot of cheap labor, lacks environmental regulations, and massive land, energy,

and other government subsidies to lure foreign capital and companies.

China's quid pro quo, quite against WTO rules is the forced transfer of an American company's technology

to nascent Chinese competitors in exchange for access to Chinese markets.

Implicit in this dragon's bargain is this paradigm of assumed inevitability.

Once a Chinese competitor is sufficiently endowed with American technology,

...