For some time now, I've been talking about the impending conflict with China and the United States.
I'm becoming increasingly more concerned.
Our American stock markets are reflecting the fact that there is a contest of wills between President Trump of the United States and President Xi of China.
That is not good.
It is not good because we're entering into what we can consider a Cold War of China.
China is growing.
It has depended on us for the last 30 to 40 years.
And in turn, we can sit down with them and talk to them.
But instead, what has happened is we've increased the number of B-52s over flying Spratly Island.
The Chinese have increased their presence on the Spratly Island.
We have sold over $330 million worth of military ammunition to Taiwan.
And we're increasing the conflict to the point where really it is a serious Cold War between China and the United States.
Unlike the Cold War that we had with the Soviet Union in 1947, in which I finally helped to resolve that issue, that was not a contest of personalities.
That was a contest of two ideologies.
In this case, Let me warn President Trump and the United States, and President Xi as well, that China holds over $6 trillion of US tea bills.
If China wanted to come back and say, look, we're going to foreclose on these tea bills, we want to have them cashed out.
That means that 33% of our entire T-bill traffic, that's over $18 trillion, will be called in.
As a result of that, we will have to increase revenues, we will have to increase taxes, we will have a huge debt, which is about $6 trillion on top of already existing and growing $26 trillion debt, and we won't be able to handle that.
So, Mr.
President, I'm asking you to reconsider what it is you're doing.
A contest of will will not bring peace and prosperity to both countries, which is what we need at this present time.
President Xi has correctly said that China is an ancient power.
It is growing in its own way.
What he has added, and I do not agree with it, is that the Communist Party has to reinforce and eliminate the Western values.
I do not agree with you, President Xi.
I think that is a big mistake, given the fact that, number one, you sent your children, and particularly your daughter, to Harvard.
You know that there are a lot of young Chinese men and women who are trained in the West.
And number three, you understand that you have taken a lot of our technology.
In turn, we want to make sure there's a quid pro quo on the basis of financial equivalence.
From the point of view of Mr.
Trump, I want you to understand within your national security organization, there are no people there who have effectively taken down the Soviet Union.
Let me repeat that.
They are neither trained in psychology, they're not trained in the ability to have regime change, and certainly they're not trained in business.
What I'm asking you to do is to reconsider the fact that we have an impending Cold War between China and the United States.
Quote the famous words of Mao Zedong.
The higher the monkey goes, the further he falls.
That's true for President Xi, and that's true for President Trump.