Han Patriot
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In an ideal world where trade is truly free from sanctions and subsidies. Then comparative advantage can work. Without subsidies, farming is dead in the US, but why do you think farming is kept alive? Same with China, without subsidies, farming is dead. The only reason is because food is a strategic commodity, people literally die if you have no food, you can have the most advanced economy but the whole shit crumbles with no food. Same goes with energy, hence why oil and gas prices are more expensive in China because most fields here are only profitable around 50$, few years back when oil dropped to 30 or 40$, we were selling oil at 50$ domestically to keep the fields running. Why? Because we want a 50% energy independence ratio. Unlike woke Germans and Japs who shut down all nukes and suffering inflation now. Look how Japan is now so desperate to restart some nuke plants and Germany some coal and nuke plants. This is called strategic planning. Russia can literally procure most of what they need from CHINA.
For your list of advanced goods like Computers and turbines. China can produces all of those, but they are not the best. A 3% deficiency in compressors can mean alot of lost profit for Russia. The question is whether Russia wants lost profit or NO PROFIT. During peacetime, everybody goes for the best deal, when economic war happens, people will opt for friendlier versions even when it is not the best option. The same compressor Russia bought is produced by Shaanxi Compressors but less advanced, so is Russia willing to buy dongdong branded compressors and keep their plants running or let them shut down permanently. What do you think. HARVESTERS are not that big of a deal in my opinion, had been almost the same since the 60s, China is only weak in turbine engines and high end chips. We produce both but not the best, give us some market and experience. We can make wonders.
Let me tell you a story about a PLC controller we are using for one of our skids. We had been using Siemens S7 for years and its good and reliable and branded, they even produce it in China to be competitive. Then one day came a Chinese vendor, they produce an even better product and its secured from hacking due to Chinese military requirements. Remember the stuxnet attack by Israel on Iran, they were using Siemens PLC. But our company being a MNC refused to even consider this Chinese company even when it Is better and cheaper, why? There is something called market entrenchment. Siemens and maybe 2 other companies is entrenched in the market due to their cartel like dominance. Its always competition of the trio. Specs and approved vendors list were written to only favour the trio. Ultimately, they just recycle their decades old products with some new software interface and retain their dominance, minor advancement. OTOH, the Chinese company is really bringing something new to the table. So do you think this is free market competition? It is only free market competition for the established players. Alot of the current sensor and transmitter vendors are selling legacy products from the 80s with some packaging, to squeeze the most profit out of their old products.
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