Washington Wins Headlines, Beijing Wins the War: The Rare Earth Power Shift

The world let out a collective sigh of relief today. Bloomberg's reporting preliminary signs that tensions between the world's two largest economies are finally cooling off. But make no mistake—this détente didn't come from Washington playing nice. It came from Beijing seizing the initiative and forcing America's hand.

Why has the offensive become the defensive? Because Washington's brutal, indiscriminate approach cost it the moral high ground and strategic advantage. China anticipated the backlash, deployed countermeasures early, and watched America's overreach become its weakness.

Washington's Scorched Earth Mistake

Brutal and indiscriminate was Washington's approach —destructive measures targeting thousands of Chinese enterprises' exports without distinction. What's the “Affiliates Rule”? Economic collective punishment, weaponized at scale.

This cost America the moral high ground entirely. Trump's administration showed no restraint, no consideration for consequences—only a scorched-earth determination to destroy the other side by any means necessary.

This "collective punishment" doesn't just cut off Chinese enterprises' technological pathways—it simultaneously devastates American companies while throwing global supply chains into complete chaos. That cost Washington its credibility worldwide. Such unreasonable behavior, harming others while inflicting damage on itself.

What America didn't anticipate was that China's countermeasures came swiftly and with surgical precision—nothing symbolic about it. The rare earth card struck directly at the heart of American high-end manufacturing.

Rare earths: China's knockout weapon. Once Beijing plays the rare earth controls card, Washington needs to pull its head out of the sand as the tides shift. US Treasury Secretary Scott Bessent admitted both sides reached consensus on a trade agreement framework, stating Trump's earlier threat of “100 percent tariffs if the Chinese impose their rare earth global export controls” is “averted”. He then added that China "had threatened to put a global export licensing regime, and I believe that they are going to delay that for a year while they re-examine it."

America's Rare Earth Dilemma

With rare earths under China's control, America cannot complete its supposed "grand project" of rare earth self-sufficiency in one year. Not even close. If Washington wants stable rare earth supplies from China to keep its enterprises alive, there's a brutal negotiation gauntlet ahead. If Trump tries his "art of the deal" theatrics again, he'll find himself instantly reset to square one—April 2nd's tariff war starting line—and Beijing holds all the leverage to make that happen.

China has transformed from weakness to strength—this shift is massive. You could say it's won the fight against the entire world.

From Hand Grenades to Hydrogen Bombs

Let's dial back. On the eve of the Korean War in 1950, as Mao Zedong deployed troops and generals, he summoned Deng Hua from Guangzhou to Beijing immediately. Upon meeting, he got straight to the point: "It looks like Truman won't give up in Korea. Your task is to defend the Northeast border, but be prepared to fight the Americans, be prepared to fight an unprecedented major war, and be prepared for them to use atomic bombs. If they use atomic bombs, we'll use hand grenades, grasp their weakness, follow them closely, and ultimately defeat them."

Deng Hua responded: "Yes, grasp their weakness and fight accordingly. They fight with their advantages, we fight with ours—this is our good method for dealing with the American military." Deng Hua later served as the first Vice Commander and first Vice Political Commissar of the Volunteer Army, assisting Peng Dehuai in commanding the entire war.

"They use atomic bombs, we use hand grenades" later became a celebrated phrase—but how tragic those words were when spoken back then. Mao Zedong had to consider the worst-case scenario of America using atomic bombs against the volunteers in Korea, so he issued this order to such an important commander and political commissar—even facing a "doomsday weapon," the volunteer army must persist with hand grenades. At any cost, defend the homeland and protect the nation.

China has transformed itself completely. Forget atomic bombs and nuclear bombs—we've got hydrogen bombs now. Is that why America and the entire Western bloc fear China? No. Or that China would prevail in conflict yet again, with inferior weapons? Also no.

The Real Weapon That Changes Everything

What the US-Western bloc fully recognized in 2025 is that there exists a "doomsday weapon" powerful enough to immediately suffocate all manufacturing industries and technological development: rare earths.

Will this be deployed at any time? Here's the thing: China pursues "mutual respect, peaceful coexistence, and win-win cooperation"—it doesn't even want to use hand grenades.

Still don't believe it? This time Trump won all the headlines—China-US détente, crisis averted. If Trump manages to play nice without going from his "art of the deal" type threats to “TACO”, the Nobel Peace Prize is ripe and ready for him to take.

Deep Blue

** 博客文章文責自負,不代表本公司立場 **

2025 has been a disastrous year for the Western camp—one glaring setback after another. Their losing streak is impossible to hide. Why is this happening? Let’s dive into the latest news and analysis.

China’s Reference News pointed to an October 16 article on the Frankfurter Allgemeine Zeitung website, headlined “China, not Trump’s Washington, is the real world power.”

It argues that before the close of the decade, China will become the world’s leading power. Washington’s unpredictable domestic and foreign policies have chipped away at America’s credibility and global charm. By contrast, Beijing’s steady, cooperative stance looks far more appealing in a chaotic world—something many Western pundits are reluctant to admit.

Latest polls from countries worldwide—including many in Europe—show China topping the popularity charts, leaving the US in the dust. China now holds the crown for soft power. Instead of listing every win one by one, let’s flip the script and see where America as the West’s leader is dropping the ball. German outlets point out that Trump’s “America First” doctrine has alienated partners, eroded alliances, and sapped US allure. But is it just Western in-fighting? This reveals a century-long blind spot: too often, the West has either been living in a self-fulfilling narrative or ignored capitalism’s democratic flaws—embracing fairy tales over logic. The bottom line? The US and its Western allies, Germany included, crumble under real pressure.

China Holds the Cards

The answer to who’s serious is written on the wall: China’s the only one playing for keeps.

Over the weekend, over 2,700 US cities—from New York to the smallest towns—flooded the streets under the banner “No Kings,” airing their discontent with Trump. When reporters asked him about it, Trump shot back, “I’m not a king.” (Deutsche Welle)

Trump may deny being a king, but he’s the ultimate street boss. After nearly a year, his crude, street-fighter approach—pure street smarts—makes it clear the White House is run by hustlers. They lash out when they lose and double down when they win. If their usual smoke-and-mirrors get exposed, they erupt in profanity-fueled tantrums. From the president and vice president down to the War and Treasury secretaries—and even the White House press secretary—it’s the same rush. With tactics like that, who’d mistake Trump for royalty? As Cantonese says: “Even in the dragon robe, he looks less like a crown prince—let alone an emperor.”

Two real stories from Europe and America lay their ugly truth bare—they read like chapters from China’s classic collection of supernatural tales “Strange Stories from a Chinese Studio”.

Ghost Stories of the West

In 2012, the Costa Concordia—with 4,232 passengers aboard—hit a reef off Italy and flipped, killing 32 and injuring 64. Three years later, Captain Francesco Schettino was convicted of involuntary manslaughter and slapped with a 16-year sentence. He broke down in court, insisting he was just the cruise line’s fall guy to protect its bottom line.

Back in 1912, the Titanic rammed an iceberg in the North Atlantic and went down, taking over 1,500 lives out of 2,200 on board. The tragedy laid bare the ship’s lack of lifeboats. Rumor has it Captain Edward Smith turned down rescue offers after the crash—and he was never found.

If there was ever a “Titanic spirit,” design flaws aside, it sure didn’t save the captain. A century on, prosecutors branded him a “reckless fool” who “ditched his passengers to save himself.” How does the West shrug this off?

I’ll spare you the full breakdown—this screams “Painted Skin” from Strange Stories. And guess what? Google’s AI nails it in its summary:

Google AI Spills the Moral

First takeaway: don’t let looks fool you. The tale warns against those who wear human skin with scorpion hearts hidden inside.

Second lesson: moral retribution exists. Good or bad, actions have consequences—so be kind and stay on guard.

See the point? With AI as our guide, we don’t need to wait for dawn. Bravo!