414: Chapter 414 Rare Earths Display Their Divine Power for the First Time

After all, the high-tech industry of the United States relies heavily on China's rare earths.

From electric vehicles to wind turbines, and even high-end engines, these high-end manufacturing sectors would all come to a standstill.

China can survive without the Microsoft system because they can use pirated versions, but the United States cannot survive without China's rare earths!

Because this is a true monopoly.

As for the United States manufacturing them independently? While it's true that the technical difficulty of this industry isn't as high as top-tier technologies, expecting the big shots to invest in R&D themselves and compete with China on technology?

They should wait another 30 years!

Maybe they can launch a project by then!

Rare earth control is not just a minor friction like before; it is a true strategic counterattack. After all, this is the absolute hegemony they spent many years building.

Shen Danyang said at the end, his tone full of warnings.

"China does not take the initiative to provoke trade disputes, but when others come knocking on our door, we are not afraid."

"If some people continue to suppress Chinese enterprises without reason, we will take all necessary measures to safeguard our legitimate rights and interests, and resolutely defend the rightful rights of Chinese enterprises."

"After all, there is an old Chinese saying: once, twice, but not a third time..."

When the journalists transmitted their reports back to the United States, due to the time difference, even though it was only 3:00 AM, the Wall Street futures market had already begun to react.

Dow Jones futures dove by 3%, and Nasdaq futures plummeted by 5.45%.

As Apple had proactively distanced itself, its market value only fluctuated slightly, falling by 0.03% before quickly rebounding; Qualcomm saw the same result.

But it was a different story for Intel, Google, and Microsoft, which fell by 7%, 9%, and 7.5% respectively; these companies, which originally held monopoly positions, were all hit by a massive shock.

The chain reaction was greater than they had imagined!

After all, this time it wasn't just soybeans, wheat, and corn—all these products that China used to import entirely were being...

Consequently, the traders on Wall Street couldn't even bother to drink their coffee and rushed to the streets.

After all, that foolish guy had repeatedly disregarded the safety of their agricultural states!

Are their lives not lives too?!

But for Wall Street, these were minor matters; stock market declines were normal. What truly panicked them was the chain reaction of rare earths.

Rare earths are the vitamins of the high-tech industry.

By daybreak, protest crowds would appear in major cities tomorrow, and the organized groups this time were even more complex than before.

Even Wall Street began to get involved.

After all, Microsoft had already received a corresponding inquiry letter, asking them to cooperate with the relevant investigation, or else they would face astronomical fines.

Therefore, some traders in suits held up makeshift placards: "Do not sacrifice the interests of United States shareholders just to suppress Chinese enterprises."

"We also need to eat. High-tech has nothing to do with us, but we know that if soybeans can't be sold, we can't eat!"

"Farmers are not cannon fodder~"

"Look at our warehouses."

Some retail investors of Apple Inc. and Qualcomm also held up placards and shouted: "Apple and Qualcomm are friends of Transsion, please do not make us sworn enemies."

...

This rapid counterattack made everyone feel the pain.

For instance, when Senator Chuck from Iowa gave a speech at an emergency meeting, there was no restraint left in his voice, only hatred for this foolish decision.

"We have said before that agriculture is the foundation of the United States, and we must protect the interests of farmers."

"And now? Soybeans have plummeted below the cost line, corn warehouses are overflowing with no buyers, and farmers are going bankrupt."

"And all of this is because some people want to target two high-tech companies that only account for a small portion of business in the United States."

"It turns out it was a patent troll company. I want to know who is behind it, instigating them to misuse Qualcomm and Apple's names to file complaints, and who initiated the investigation process without verification?"

"Accountability, there must be accountability!"

Legislators from other states also kept showing their support, and the head of the International Trade Commission felt his legs go a bit weak at this moment.

Although he did it for the United States, capital does not believe in tears; they only know that they have lost cold, hard cash.

Just when he thought he would only be removed from his post, the representative from Texas added:

"Rare earth control is even more terrifying than the soybean investigation."

"This is the industrial lifeblood of high-tech; some people are making a joke out of our security."

"If this continues, and China really bans the system entirely, then we will truly begin our decline."

At this moment, the chaos in the conference room had reached its peak. Obama's face had turned black to the extreme, though he was a Black man to begin with, so it was hard to tell the difference if he got any darker.

But not everyone at this emergency meeting advocated for surrender.

For example, the position of Trade Representative Lighthizer remained tough; he was a hawk among hawks and did not want to concede on any issue.

Because he believed it was precisely because the United States had retreated in previous instances that China's counterattack this time came so casually and confidently.

"The 337 investigation must continue. We cannot back down just because of their countermeasures."

Before his voice had even faded, the Secretary of Agriculture slammed the table and stood up, the coffee in his cup rippling slowly.

"I'm telling you, the farmers can't take it anymore."

"Soybeans are piling up in warehouses, unable to be sold, bank loans are due next month, and three agricultural cooperatives have already filed for bankruptcy."

After finishing this sentence, he looked at Obama: "If this continues, all the votes from the agricultural states will be lost."

Obama sat at the head of the table, caught between these factions and unable to move. In the past, to stabilize the economic crisis, he had been a moderate on the issue of China.

But now...

Unknowingly, he had become a hawk.

In previous instances, he had withstood the pressure and persisted; although he eventually had to cancel them in disgrace, at least he had held out for a period of time.

But this time, the opponent played the rare earth card. He knew he couldn't persist, but retreating too early would lead to accusations of weakness from the hawks, and public opinion would say he had been scared off by China's countermeasures.

Both paths were pitfalls; the only difference was the depth of the pit.

The conference room was in an endless uproar!

Finally, he made a compromise decision, which was also a decision that fit his persona:

"The 337 investigation will not be revoked, but the investigation process will be indefinitely shelved without making any substantive rulings."

"Externally, we will announce that the investigation is actively proceeding, and then we will proactively surrender to the Chinese side and ask them to stop investigating."

When the chairman of the International Trade Commission received this instruction, he instantly understood that he was going to be thrown under the bus again, so he signaled his assistant with a look.

The other party immediately asked:

"Then how should we phrase it to the outside world?"