The toughening of China’s international posture – which we noted in our first message of 2010 – continues apace, but the current spat over US arms sales to Taiwan is unlikely to reach the proportions suggested by Beijing’s threats against American companies. After the ongoing differences over the currency, climate change and Google, we have no doubt that the West is going to find China a tougher customer to deal with in the year ahead and we do not underestimate the danger of a...
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