FCS VP Voice

BY JOSHUA BURKE

The United States is losing the great commercial diplomacy game to China. While Washington focuses on efficiency, Beijing executes a ruthless, long-term strategy to dominate global trade, technology, and diplomacy.

China is not just competing—it is systematically dismantling U.S. commercial influence and replacing it with its own.

China’s state-controlled capitalism, paired with aggressive global expansion, is pushing America to the sidelines. Through predatory trade practices, supply chain monopolization, and commercial diplomacy backed by authoritarian power, Beijing is buying the future, one industry and one country at a time.

The U.S. trade deficit with China stood at $279 billion in 2023. Meanwhile, American companies face high tariffs, forced technology transfers, and market barriers in China.

China’s control over rare earth elements (80 percent of global supply) gives it economic leverage over the U.S. military and tech sector. While the CHIPS Act appears to be an effective down payment, China still controls more than 60 percent of the world’s chip supply chain.

China’s Belt and Road Initiative (BRI) has locked more than 150 nations into debt-fueled economic dependency. If we continue losing to China, we are risking economic decline and handing over control of the future to a strategic rival that seeks to rewrite global rules in its favor.

However, while China has made inroads, America’s commercial diplomats are deploying tools and programs that are helping our nation become stronger, safer, and more prosperous.

The Department of Commerce’s Global Markets (GM) must be fully unshackled from internal bureaucracy and expanded to counter China’s economic warfare. By expanding exports, securing supply chains, and countering unfair Chinese competition, GM helps America to reinforce its position as the leader of the global economy.

In the past year, however, GM has lost nearly 10 percent of our officer corps. More troubling, our locally employed (LE) staff resources are down 20 or even 30 percent in some posts. Meanwhile, the PRC has 10 times the number of commercial officers in several key posts overseas.

We can still win this fight, but only if we act decisively and immediately. Our team of capable, talented, and loyal public servants is here to help the new administration fight and win against a rising China. Below are a few suggested areas of focus for our incoming leadership:

1. Expand export promotion programs. Increase funding for GM offices to help more U.S. companies access international markets.
2. Strengthen FDI through SelectUSA. Make the U.S. the premier destination for foreign investment, creating jobs and reducing reliance on Chinese-owned industries.
3. Enhance commercial diplomacy. Leverage GM’s experience in U.S. embassies, trade missions, and advocacy programs to counter China’s influence in emerging markets.
4. Tighten export controls on critical technologies. Ensure that China does not gain access to U.S. innovations in AI, semiconductors, and advanced materials.

China’s economic strategy is designed to undermine U.S. leadership and make nations more dependent on Beijing. But through targeted trade promotion, supply chain security, and strategic commercial diplomacy, Global Markets is ensuring that America remains strong, safe, and prosperous—not just today, but for the decades to come.

The time for half-measures is over. China has a plan to win—and it’s working. America does not have the luxury of time. The question is no longer whether we are losing to China. The question is: Is America going to disarm, or are we willing to do what it takes to win?