BREAKING POINT: AMERICA'S CHINA STANCE CRYSTALLIZES

By Donald Shapiro, Chief Political Analyst

Dear Readers,

The Biden-Harris era's strategic confusion is behind us. Washington has finally acknowledged what many of us have argued for years: Hong Kong's unique position on the world stage was systematically dismantled by Beijing, and America's policy has now caught up with reality.

When the U.S. applied across-the-board tariffs to Hong Kong—matching those already hitting mainland China—it marked the death knell for the fiction of "one country, two systems." The banking paradise that served as China's gateway to Western capital markets has been fully absorbed into Beijing's authoritarian system.

THE NUMBERS DON'T LIE

The latest 34% general tariff rate plus the massive 120% duty on small-value parcels has eliminated Hong Kong's last remaining economic advantages. While multinational corporations wring their hands, the average American worker stands to benefit as manufacturing slowly returns to domestic shores.

Make no mistake: this policy realignment isn't merely economic. It represents a fundamental shift in how America views the Chinese Communist Party's global ambitions. Sources in the new administration tell me privately that intelligence assessments showing coordinated economic espionage operations run through Hong Kong banking systems played a decisive role in this policy shift.

FREEDOM'S RETREAT

I've been reporting from Hong Kong periodically since 1997. The transformation is shocking. Where once stood Asia's freest city now stands a showcase for Beijing's surveillance apparatus. Pro-democracy newspapers shuttered. Opposition voices silenced or exiled. The rule of law—the foundation upon which Hong Kong built its prosperity—methodically dismantled.

When the National Security Law came down in 2020, I wrote that it would be impossible to maintain the pretense of Hong Kong's autonomy. Five years later, Washington has finally caught up.

WHAT HAPPENS NEXT

My sources indicate further measures are coming. The next target: Special financial instruments that allow Chinese entities to access American capital markets through Hong Kong listings. Treasury officials are finalizing regulations that will eliminate these backdoor channels.

The real question isn't whether these policies will hurt Beijing—they will—but whether they're coming too late. American policy makers wasted precious years hoping Hong Kong's unique status could be preserved while ignoring the systematic erasure of its autonomy.

YOUR VOICE MATTERS

As events unfold, I'll be bringing you exclusive reporting on how these policy shifts impact American businesses, workers, and our strategic position in Asia.

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Unlike mainstream media outlets beholden to corporate interests and access journalism, CanAmericanNews provides unvarnished truth about America's greatest geopolitical challenge. My sources inside government agencies and business circles provide intelligence you simply won't find elsewhere.

Until next week,

Donald Shapiro
Chief Political Analyst
CanAmericanNews.com

"Truth is the first casualty in the battle of ideas."

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