During the final decades of the 20th century, Deng Xiaoping instituted various reforms in China, redefining science and technology, agriculture, industry, national defense, and also in establishing an "open door" policy that allowed China to have economic relations with other countries, thus making China a true global player. However, these forms have not come without consequences, specifically the problems that China's new position as an emerging superpower has created problems for the United States.
One of the most significant ways in which China's new global position has affected the U.S. China has become one of the world's "top consumer(s) of a wide variety of natural resources and primary commodities, such as steel, aluminum, oil, and gas." (Wang 2). In China, gasoline prices are regulated by the government. As the price of oil has risen, China's government subsidies have not been able to keep up with the rising cost, resulting in fuel shortages that have a global effect on energy prices. According to an article by the New York Times:
American concerns about China's price controls on fuel were raised (...) in high-level economic talks between China and the United States in Annapolis, Md. Treasury Secretary Henry M. Paulson (...) in a speech the previous week, called on China to lift controls and cut subsidies in the energy sector, arguing that they were harmful to the dynamics of supply and demand. Fuel price controls, he said, were producing "persistent gasoline and diesel shortages" in China and (...) price controls, he added, also "often lead to smuggling and corruption" as well as shortages that contribute to global price spikes in the energy sector. (New York Times).
Another problem influenced by energy price spikes in China is the cost of Chinese exports. A countless number of goods imported into the United States are made in China, and the rising cost of energy has equaled a similarly risin
...