If you would like to receive weekly updates, type in your email address and click on "Subscribe!"!

As Americans, we believe that competition is good.  We encourage competition in sports, academia, medicine, and business.  When nations compete, however, the stakes are raised and our views change.

We instinctively know that the competition can become dangerous and the outcome can determine not only our fate, but also the fate of our children and grandchildren.

That is why economic competition between the US and China has the world’s attention.  The strategies and tactics of each were on display recently in a small part of Africa and well off the geo-political beaten track.

The sparring took place in Ghana and there were twists that likely were not anticipated.

President Bush suggested that a US military presence in Africa could help lend stability to the region.  In response, Ghana’s President John Agyekum Kufour rebuffed Mr. Bush’s overture.  Mr. Kufour was polite but firm.  He responded that this type of action would be seen as intrusive and disruptive. 

So what does this have to do with China?

It is no secret that China has been very aggressive in negotiating trade deals with African nations.  Africa is rich in natural resources and China is flush with cash.  Beyond this, there is no historical animosity between Africa and China.  Trade agreements are easy to negotiate.

Meanwhile, the US is keenly aware of the rising cost of natural resources and strategic materials.  The world’s population is rising.   The demand for food, water, energy, metals, and other commodities is growing.  Thus, President Bush’s suggestion was seen as an attempt to balance growing influence by China.
President Kufour diplomatically addressed the issue after the two met by saying, “China is not coming as a colonial master. I can assure you that our nations are not succumbing to dictates and imposition, not from China or elsewhere. If there is something Africa wants to buy and it is economical, no matter wherever it is, that is where Africa will buy it from."
Simply stated Mr. Kufour is encouraging competition.
The ironyof this is that 100 years ago America was in China’s position.  Britain was the world economic super-power while also boasting the world’s strongest army and navy.  America, however, had a growing industrial base, a strong need for natural resources, and plenty of cash.
Yankee traders spanned the globe telling trading partners that the British would put a soldier in their backyard but we Americans would put money in their pocket.  Of course this was all done under the umbrella of British protection and stability.
Now the roles have changed.  China whispers of American military imperialism; all the while operating under the blanket of stability that America and its military afford the world.  And this behavior is not limited to Ghana.
China and Iran have entered into numerous economic and strategic partnerships.  Australia provides China with natural resources and views China as insulation from a slowing global economy.  The same can be said for Brazil, Canada, Argentina and other resource-based countries.

China’s path, however, isn’t without obstacles.  China is burdened by it own internal woes of pollution, unstable banking, centralized planning, and potential political unrest. 
It is clear that China first desires to ascend to regional hegemony before directly confronting the US in an overtly aggressive manner.  It must therefore be careful not to provoke the US too hard as it continues to grapple with its potential and problems.
Nonetheless, if Ghana is any indicator, the competition has escalated to a higher level and will shape the world’s future for decades to come.