Marshaling National Power Industries to Preserve America’s Strength and Thwart China’s Bid for Global Dominance

Key Takeaways 1
Forward 4
Executive Summary 6
 The Strategic Imperative 6
 Understanding the Chinese Communist Party’s True Objectives 6
 Three Flawed Strategic Responses 8
 Why Current U.S. Economic Policy Frameworks Fail 10
 What’s Required: National Power Industry Strategy 11
 Implementation Barriers 12
 The Path Forward 12
 Conclusion 13

Introduction 14
Today’s Historical Turning Point 18
America’s Current Techno-Economic and Trade System and Why Support for It Persists 20

Explaining China 28
 The Conventional View vs Reality 28
 How China Is Different Than America 29
 National Goals 33
 What the CCP Says 34
 What the CCP Does 42

The Nature and Importance of National Power Industries 49
Power Industry Dynamics and the Need for Production 54
Implications for Chinese Attackers 62

America’s Power Industry China Strategy Choices 65
 The Engagers: Let’s Not Rock the CCP Boat 66
 The Deniers: Nothing to Worry About With China 75
 Worry About the United States, Not China 85
 The Right Strategy: FDR and Churchill—Enlist Allies and Fight the War for Chinese Power Industry Containment and Domestic Development 91

Consumer Welfare and Progressive Economics Vs National Power Economics 92
An Operational Strategy For “Stand and Fight” 99
The Limits of Competitiveness Strategy and the Michael Porter Framework 103
Applying Business Strategy to National Power Industry Strategy 111

A National Power Industry Strategy Framework 116

The Political Economy of National Power Industry Strategy 118
 Business 119
 Labor Unions 125
 Civil Society 126
 Universities 126
 Government 127
 Today’s Limitations 128

Appendix 1: Selected Chinese Advanced Industry Policies 131
Appendix 2: Key Takeaways for Major U.S. Policy Areas 134
Appendix 3: National Power Industry Typology and Categorizations 137
Endnotes 147