The US State Department has established an eight-member group dedicated to assisting allies and partners in countering retaliatory and coercive actions by the Chinese Communist Party in the economic realm. According to Voice of America, the group will provide assistance to relevant countries in a “consulting firm-like manner”.
Jose W. Fernandez, the Deputy Secretary of State for Economic Affairs, stated in a written interview with Voice of America that after Lithuania faced economic coercion from China in 2021 due to its support for Taiwan, more than ten countries actively sought advice and assistance from the United States.
“Fllowing the Lithuania incident, more and more partner countries are reaching out to the United States before considering possible actions, as they know Beijing will not be pleased with these actions. Currently, we have encountered more than ten cases,” he said.
He mentioned that other countries may prefer to privately contact the United States to engage in a “quiet contact”, and the United States is willing to engage with these countries in this manner.
The eight-member group will be led by China Policy Coordinator Malaine Hart. Some individuals within the State Department refer to them as a “consulting firm”.
Fernandez did not provide detailed information on the specific operations of this “firm”, but mentioned that the members of the eight-member group will provide consultation to the “clients” seeking assistance, similar to consultants in a firm.
He said, “The US State Department has thousands of economic affairs diplomats working around the world in collaboration with their counterparts in foreign governments to deepen our economic ties, including providing assistance to our partners when they face threats. There is close coordination between the economic affairs personnel stationed abroad and our team in Washington.”
Additionally, Fernandez mentioned that the US is increasing collaboration in this field with other allies.
David Day, the head of the Global Risk Mitigation Foundation based in Hawaii, stated in an interview with Voice of America that it is essential for countries worldwide engaging with Beijing to recognize that economic pressure is a significant component of China’s overall political warfare.
“Only by understanding this overall plan can one correctly interpret the various components under this framework, including economic pressure, military pressure, deployment of spies, cultural penetration, and encouragement of Chinese investments. These are all non-kinetic tactics that can be collectively referred to as political tactics,” he said.
He likened China’s actions to termites, hollowing out and corroding other countries from within.
He stated that “the US must have a clear understanding of these tactics” rather than just viewing the competition with China from a siege warfare perspective.
Day mentioned that Beijing aims to “weaken a country’s economy to weaken its overall national power.”