Beijing (China) is attempting to “trigger” President Trump’s internal neo-con and militaristic opposition. Stay frosty, avoid emotional reports demanding military engagement, and remain steady with a high altitude perspective.
Multiple reports now confirming that North Korea has conducted a missile test. The flight path escalates the issues by crossing over part of Northern Japan. In essence, Beijing China just threw an elbow at President Trump. [The likely “Why” follows breaking report]

TOKYO (Reuters) – North Korea fired a missile that passed over northern Japan early on Tuesday, the Japanese government said. The government’s J-Alert warning system advised people in the area to take precautions, but public broadcaster NHK said there was no sign of damage.
The Japanese military did not attempt to shoot down the missile, which passed over Japanese territory around 6:06 a.m. local time (2106 GMT). (Reuters)

Japanese Prime Minister Shinzo Abe, speaking to reporters in Tokyo after the launch, said the missile appeared to have passed over airspace and that the government was urgently collecting intelligence on the incident and doing everything to ensure the safety of its citizens, according to remarks broadcast on NHK, Bloomberg News reports.


Beijing China controls Kim Jong-un. Period.
Looking at the big picture, there’s no single event being responded to by this missile launch; rather, what we are seeing is a reaction to: A.) the cumulative effect of very strategic recent geopolitical maneuvering by President Trump (Venezuela, Pakistan, India etc); and, B.) the words spoken by the administration -including Trump, tillerson and Haley- that are removing China’s panda face.
Remember, China doesn’t draw a distinction between Peace and War.  It’s yin/yang. All actions toward China’s larger objectives are viewed as natural to achieve victory.  War or Peace it makes no difference to them; they don’t accept mutually beneficial outcomes. Either they win, or they lose.  All action to achieve victory is part of same world view.
When you accept this approach, you being to understand what happens when a nation built upon such outlooks feels squeezed. They fight back harder. To them it’s a zero-sum battle.
China’s objective is conquest.  China’s tool for conquest is economics.  President Trump entire geopolitical strategy of using economics in a similar way is an existential threat to China’s endeavor.  Communist Beijing calls the proverbial shots.

President Trump is putting on a MASSIVE economic squeeze.

♦Squeeze #1. Trump and Mnuchin just sanctioned Venezuela and cut off their access to expanded state owned oil revenue.  Venezuela now needs more money.  China and Russia are already leveraged to the gills in Venezuela and hold 49% of Citgo as collateral for loans outstanding.  Now China and Russia will need to loan more, directly.
♦Squeeze #2.  China’s geopolitical ally, Russia, is already squeezed with losses in energy revenue because of President Trump’s approach toward oil, LNG and coal.  Trump, through allies including Saudi Arabia, EU, France (North Africa energy), and domestic production has driven down energy prices. Meanwhile Russia is bleeding out financially in Syria.  Iran is the financial reserve, but they too are energy price dependent.
♦Squeeze #3. Trump and Tillerson just put Pakistan on notice they need to get involved in bringing their enabled tribal “extremists” (Taliban) to the table in Afghanistan.  Pakistan’s primary investor and economic partner is China.
♦Squeeze #4. China’s primary economic threat (competition) is next door in India.  President Trump has just embraced India as leverage over China in trade and pledged ongoing favorable trade deals.  The play is MFN (Most Favored Nation) trade status might flip from China to India.  That’s a big play.
♦Squeeze #4.  President Trump has launched a USTR Section 301 Trade Investigation into China’s theft of intellectual property.  This encompasses every U.S. entity that does manufacturing business with China, particularly aeronautics and technology, and also reaches into the financial services sector.
♦Squeeze #5.  President Trump, Secretary Ross, Secretary Mnuchin and USTR Robert Lighthizer are renegotiating NAFTA.  One of the primary objectives of team U.S.A. is to close the 3rd party loopholes, including dumping and origination, that China uses to gain backdoor access to the U.S. market and avoid trade/tariff restrictions. [China sends parts to Mexico and Canada for assembly and then back-door entry into the U.S. via NAFTA.]
♦Squeeze #5. President Trump has been open, visible and vocal about his intention to shift to bilateral trade renegotiation with China and Southeast Asia immediately after Team U.S.A. conclude with NAFTA renegotiation.
♦Squeeze #6.  President Trump has positioned ASEAN (Association of Southeast Asian Nations) as trade benefactors for assistance with North Korea. The relationship between ASEAN nations and the Trump administration is very strong, and getting stronger. Which leads to…
♦Squeeze #7.  President Trump has formed an economic and national security aliance with Shinzo Abe of Japan.   It is not accidental that North Korea’s Kim Jong-un fired today over the Northern part of Japan.  Quite simply, Beijing told him to.
Add all of this up, and you can see the cumulative impact of President Trump’s geopolitical strategy toward China.  The best part of all of it – is the likelihood China never saw it, meaning the sum totality of all of “it”, coming.
Just like Trump’s economic council (a bunch of globalists and Wall Streeters) thinking they were pulling POTUS Trump away from “America First”, only to realize he was simply giving them that impression so that he could advance his agenda….
By the time they realized, it was too late.  Well, so too did China not quite realize the scope and totality of how well thought out and strategic President Trump’s geopolitical economic doctrine really is.
You know why?  Because President Trump doesn’t tell anyone what the final product is, they only know the piece of the puzzle they carry. The picture, the big objective, is inside his head and he doesn’t share it with anyone.  That’s what living amid the Apex Predators in brutal rabid-dog-eat-rabid-dog Manhattan teaches you.  Oh, and he ain’t flinching or moderating his will one bit in carrying it out and putting it all together.
What happens when you surprise Beijing China with a massive awakening that suddenly has them peering toward a horizon showing potential economic defeat?
Well, for that answer we go full circle and remember how China perceives any action as a natural evolution of struggle, so long as it takes them toward victory…


Stay steady.  Avoid the chaff and countermeasures.  It’s all about the economics and the tectonic financial plates he’s shifting.

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