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How China Benefits from Another US Banking Crisis

Today, we are witnessing a potentially lethal interplay between two sources of tension: a financial crisis, reflected in the failure of Silicon Valley Bank, and a geostrategic crisis, reflected in the deepening cold war between the United States and China. The outcome is likely to be greater than the sum of the parts.

BEIJING – No two crises are alike. That is true of recent financial upheavals – the Asian financial crisis of the late 1990s, the dot-com crisis of 2000, and the global financial crisis of 2008-09. It is also the case with crises sparked by geostrategic shocks, such as wars, pestilence, famine, and pandemics.