(C) Pixabay

Dan Wang, who is 33 years old this year, immigrated from China to Canada with his parents at the age of 7. A book written by Dan Wang titled "Breakneck: China’s Quest to Design the Future" was released at the end of August. Although a Chinese version has not yet been released, the author described it as <突破: 中國探索建未來> (Breakthrough: China’s Quest to Build the Future). The English word 'Breakneck' means 'very fast, life-threatening, dangerously fast,' which is closer to 疾走 (Breakneck, rapid advance) than 突破 (Breakthrough). In this book, he states that China has achieved dazzling development by prioritizing engineering technology and promoting engineers. He mentions that China concentrated investment on social overhead capital (SOC) infrastructure to ensure the smooth operation of industries such as raw material procurement and logistics.

In particular, he argues that in future industries such as electric vehicles (EVs), robotics, and AI, China is accumulating 'Process Knowledge' and showing manufacturing and execution capabilities that surpass the United States. This is a fact. This is why China has become the world’s factory, and while it previously imported parts from Korea to make finished products, it is now solving this problem itself. On average, it is said that China's technology is equal to or superior to that of Korea. It seems there are not many areas where Korea is ahead. It is a fact that both Korea and the US would face difficulties without cheap Chinese raw materials and semi-finished products.

The US is "kicking away the ladder" on the pursuing China. There is a tense atmosphere watching the US try to pull further ahead while running away, and China try to catch up and overtake. The US is telling its allies not to help China, while China is strengthening cooperation with Russia and North Korea. As Russia, which invaded Ukraine, became isolated, North Korea, China, and Russia solidified their friendship.

In fact, it is overwhelming and impossible for the US to fully take on the role of the world's police. The budget deficit is too large. The US's cumulative budget deficit (preliminary) for the 2025 fiscal year, approximately 2,816 trillion Korean won (1.97 trillion USD), is about 4.2 times the size of Korea's budget. To reduce the budget deficit, the US must increase tax revenue and cut fiscal spending. Therefore, it first introduced tariffs and demanded contributions from NATO and allied countries. As a result, it cannot be on good terms with its neighbors.

Looking at Germany and France, the leaders of NATO countries, is frustrating. Germany's economy is stagnant as growth has stopped, and energy costs have risen due to the closure of nuclear power plants, but a solution is not easy. Labor is scarce due to housing shortages, high cost of living, and an aging population, and investment in technology and infrastructure is being delayed. The political landscape is also not stable. France is also unstable. There is strong opposition to pension reform and tax (e.g., wealth tax) reform, and social resistance is severe. Since they cannot manage their own affairs, they cannot accept Ukraine as a member state while being mindful of Russia. Is this righteous?

Born Chinese, Dan Wang has lived in China for the past few years, observing and analyzing the country, and has been publishing 'Annual Letters,' seven of which have been compiled into a book. According to his argument, China is an 'Engineering State' that has focused on boldly approaching and building solutions to physical and social problems, achieving dazzling development over the past 40 years by doing so. He suggests that the US is a 'Lawyerly Society' where a 'vetocracy' of "litigation-based omnipotence," which prevents change and hinders efficiency through lawsuits and regulations, is rampant. In this society, complex legal procedures and regulations are said to reflexively block change, whether good or bad, making large-scale construction projects or rapid changes difficult. The US relies on legal means, such as imposing tariffs and designing sophisticated sanction regimes, to block China’s technological development. He points out that by not building factories and importing cheap goods, the US was bound to be overtaken by China in industry and technology. The US is only now realizing the importance of jobs and production, and it is telling China to build factories in the US if it wants to avoid tariffs. It is enticing them by offering tax exemptions and subsidies if they build factories in the US.

What would this 33-year-old young man, who sees China as the land of engineers and the US as the land of lawyers, say if he looked at our country? Would it be the Land of Doctors, where elites shun engineering and try to become doctors? Or perhaps the Land of Assemblymen, who are said to have over 100 privileges, making even God jealous? Their "quest to design the future of Korea" is a breakthrough? A breakneck advance? No, it’s 暴走 (uncontrolled, reckless run).

[Copyright (c) Global Economic Times. All Rights Reserved.]