Gideon Rachman

Playing with fire

After two decades of co-operation, rivalries between the major powers are rising again. China and America are preparing for economic war

issue 30 October 2010

In a couple of weeks’ time, David Cameron and George Osborne will arrive in China and witness at first hand an economic boom that is shaking the world. The British duo will doubtless receive a polite and outwardly respectful reception. But, as I discovered on a visit to Shanghai last week, Chinese diplomats and academics have noted the deep cuts in British spending — and they are drawing the obvious conclusions about the relative fortunes of the two nations. As one of my colleagues in China put it to me, ‘Nobody spots blood in the water faster than the Chinese.’

The contrast between the boom in China and the gloom in Britain is part of a bigger story of the shift in economic and political power from the West to the East. Two years after the global financial crisis, the United States and Europe are still in deep economic trouble, while the economic surge in Asia has resumed.

Comments

Join the debate for just $5 for 3 months

Be part of the conversation with other Spectator readers by getting your first three months for $5.

Already a subscriber? Log in