Koon Yew Yin's Blog
Why doesn’t China help Russia in Ukraine war? Koon Yew Yin
Koon Yew Yin
Publish date: Thu, 03 Nov 2022, 04:31 PM
Koon Yew Yin
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An official blog in i3investor to publish sharing by Mr. Koon Yew Yin.
All materials published here are prepared by Mr. Koon Yew Yin
All materials published here are prepared by Mr. Koon Yew Yin
Russia invaded Ukraine on 24 February. All NATO countries including US have been helping Ukraine with military weapons and money to fight Russia.
China wants to trade with all countries.
China, like most countries, will always do what is in their best interests. If China’s end goals were served by helping out Russia more, they would. China has grown big and strong because of extensive trade with America and Europe. Not because of military adventurism, but through trade, thus their livelihood depends on trade with the West. Helping Russia extensively in Ukraine would be akin to slitting their own throats because secondary sanctions would close off much the business China relies upon…and China simply isn’t going to risk that…especially not for a small market like Russia.
China wants to benefit from international trade.
The potential advantages from trading internationally include:
1. More choices for customers. Customers can have much wider choice of goods and services when overseas products become available in the country. Or, when customers can buy products from abroad.
2. Increase in living standards. Imported products create competition for domestic producers. Domestic producers, in order to compete with foreign products, will need to keep prices reasonably low, improve quality, design and packaging. By allowing international trade to happen this way, the living standards of all customers will improve.
3. The only source of raw materials for some local producers. Without importing specific raw materials or components, production of certain advanced products would not be possible in the country at all.
Example 1: The steel industry worldwide depends entirely on exports of iron ore from Australia (53.8% of total iron ore exports in 2019) and Brazil (18.1% of total iron ore exports in 2019).
Without buying certain foods from abroad, customers would not have access to those goods. It is because the suitable farming grounds, the specific weather or production facilities do not have existed in that country.
Example 2: Bananas, oranges and coconuts would not be available in supermarkets in Europe unless imported from warm countries such as Spain, Philippines or Ecuador.
Example 3: Seafood in Belarus would never be available as this country does not have access to the sea or ocean.
4. Aids industrialization. With the existence of international trade, the global market has become very competitive. And in order to become internationally competitive and remain on the market, businesses are forced to increase their rate of industrialization and technology advancement. Many governments are encouraging the process of industrializing domestic firms by offering assistance in the forms of grants given to speed up modernization.
5. Supports specialization. Countries can specialize in producing those products that they are the best at making. Specialization leads to price advantages and economies of scale that provide cost benefits.
Example 4: France specializes in wine production.
Example 5: Greece specializes in manufacturing olive oil.
Countries can import those products that they are less efficient at making, as compared to other countries. The comparative advantage principle allows France to specialize in wine and import olive oil from Greece, and be better off after all than producing both wine and olive oil in France.
6. Stimulates growth of multinational businesses.
International trade and globalization, this increasing interconnectivity of the world, are having a major impact on business activity. Especially through the creation and growth of multinational businesses which are exploiting global marketing strategies and internal economies of scale when evolving to become even bigger.
With larger international trade, there has been greater movement of products, services, people and capital (money and technology) across borders. International trade offers consumers around the world much easier access to a variety of products. The society benefits from improved living standards and higher quality of life. And the businesses start specializing and grow.
UK new PM
As soon as Rashi Sunak was selected to be UK new PM, he closed down all the 30 Confucius Institutes in England which indicated his refusal to trade with China. I hope someone will forward this article to him.
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Discussions
Be the first to like this. Showing 23 of 23 comments
Ukraine war is a big blunt. China 1000000 times said for peace and self defence but barbarian keep portraying it as monster and bogeyman
2022-11-04 11:19
How to help? Both Ukraine and Russia also their friends. I blame the sufferings both on personality of both of the Presidents. They both must think who suffer the most.
2022-11-04 15:48
what China can do is buy huge amount of oil and gas at a discount from Russia . As long as the economy of Russia is in good shape ,Putin has less to worry about.
2022-11-04 19:18
Right, China is importing/buying products from Russia and that can be translated as helping its neighbor's economy. Unlike those economy sanction measures which have been imposed by the West/USA that intended to crumble the capacity of Russia to defeat Ukraine.
2022-11-05 11:17
In our country, similarly, even certain badly performed politicians have said or expressed some points worth praising. Some points are relevant in resolving the issues which are devouring Malaysia.
Likewise, simply as a decent human being we don't need the Ten Commandments to instruct us so that we should honour our parents or not to kill another fellow human being.
Even away from God, those decent human beings surely can use their wisdom from the books/universities to manage the conflict for a better/peaceful world. After the world was created, God gave to the human beings and to take care/ control even the environment, animals, fish in seas, lands , bird in the sky and all the creatures move along the ground.
As for the Germans ( From Bismark, he masterminded the unification of Germany in 1871 and served as the first Chancellor of the German Empire until 1890), they already have established the relationship with China for as early as the USA have started. Great wisdom prevailed among those decent Germans that China is not their threat/enemy.
China is no lacking wisdom as well. Those ancient wisdoms that helping in sustaining this civilization can be vouched as China are focusing on rebuilding and strengthening the nation after suffered humiliation/defeats from the external powers in the past.
2022-11-05 15:45
Ukraine war is about eastern qweilo vs western qweilo,,,otherwise they will stand together and go against china,,,so no harm to Asian at all,,,hahahaha,,
2022-11-05 16:19
Don't drag in any war for that will drain your blood dry. Good to be friend not foe. Doing business is the only way to bring your people out of poverty not war. Let the US fighting war to prove it is 'still invincible' at the expense of its people.
2022-11-05 16:38
BILLC - true.
ks55 - true.
USA fought the bloody war(s) amongst themselves to get themselves united until now. But now they are fighting others so that their opponents can be divided or disunited.
Before the British empire, there were Spanish conqueror, Holland/Dutch, Portugal (Malacca, Macau & east Timor), Ottoman defeated the Byzantine, Roman empire, Persia, Babylonians, Mongol empire, etc. These empires disappeared one by one over the years and presumably British empire will be vanished in time to come. Those kings and their people also being removed after a period of time and the only people that remained to be seen today is up for anybody's guess.
The British conquered so many lands and countries and the consequences are their own country is now overwhelmed with many multi-culture and too diverse the ethnicity with people from their former colonies especially. Today, they installed a PM that is from their former colony. Do you think that God must be crazy?
If a country has committed the violations/serious aggression against anther country/its people, the pay back time will come. There is a divine retribution from the Boss who is above us. So, sins can be committed by an individual, a company and a country.
In Italy, the people there is no more Romans but simple Italian that speak Italian. The Romans were wiped out/removed leaving the
The Spanish and the Portuguese, needless to say, they are became insignificant already in terms of political influences.
2022-11-05 18:32
China should in the first place criticize both Russia for invading and kills at the same time America for all this mess
2022-11-06 11:33
and not all the way finding ways to rational the invading at the same time clamung that they are stands for peace and harmony
2022-11-06 11:35
i should say CCP instead of China as not 100% of them agreed on what CCP acts as it seems to be hypocritical defence for Russia invading and kills
2022-11-06 11:51
come back to yourself, do not pro America, do not pro CCP but pro Ratinal and Logic
2022-11-06 12:02
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2022-11-04 08:09