Politics

China Actively Targeting Critical Infrastructure in US; Railcar Manufacturers on List

china-targets-us-rail-freightLabeled as critical infrastructure by the Department of Homeland Security, the manufacturing of freight railcars in the United States is an often overlooked but essential part of our nation’s transportation security apparatus. Businesses and government alike rely on America’s freight trains to transport upwards of 5 million tons of goods and materials across the country every day—from agricultural products and military equipment, to nuclear waste and hazardous chemicals.

This industry has been targeted in recent years by the Chinese regime, a focus that has major national-security implications for the United States. The China Railway Rolling Stock Corporation (CRRC), a Chinese state-owned rail conglomerate, actively is using Chinese regime-backed financing and investments to underbid global competitors by as much as 50 percent.

CRRC is by far the largest railcar manufacturer in the world, controlling upwards of 83 percent of the global rail market. It is more than four times larger than the entire U.S. rail-manufacturing sector and is using unfair financial advantages to pare its costs and import its own finished steel and rail products into the United States.

China has made it crystal-clear that it plans to dominate numerous U.S. industries, aggressively targeting not just railcar manufacturing but also advanced manufacturing, robotics, and artificial intelligence through its Made in China 2025 initiative. Within the next three years, CRRC aims to secure $15 billion in overseas orders and establish 11 regional branches around the world. These ambitions put not only the national security of the United States at serious risk, but threaten the economic security of the nation, as well. More than $6.5 billion in GDP and 65,000 American jobs created by the U.S. freight rail-manufacturing industry are in jeopardy.

While economic security is vital to the success of the United States, of greater concern is the threat that the Chinese conglomerate poses to our national security, which rests on a healthy industrial base and domestic production of freight railcars and parts, in support of our critical infrastructure. America’s increasing reliance on partial and finished railcars from potentially hostile or uncooperative foreign governments imperils this security.

If U.S. railcar-manufacturing capabilities are compromised, we will be forced to rely on countries such as China to supply our military and critical rail-infrastructure needs. In times of increased global uncertainty, this is a risk the United States can’t afford.

Railcar technology operates across a vast array of monitoring networks with independent systems monitoring freight and passengers. Within the next 15 years, the Internet of Things (IoT) technology will become increasingly central to our nation’s industrial and transportation needs. By implementing IoT technology into freight and passenger railcars, companies can monitor hundreds of sensors that are relied upon to measure car temperature and load weight, along with remotely opening doors and tracking other metrics in freight railcars.

Allowing a Chinese-owned entity total access to technology present on American railcars poses a serious national-security threat, since these vehicles travel through every major city and military base in the United States. The question we need to ask ourselves is if we can trust vital technology and data collection in the hands of a potential adversary?

We’ve already seen the U.S. government ban certain Chinese technology companies, with the Department of Defense, for example, banning Chinese-made cameras from military bases and curtailing access by Chinese computer-maker Lenovo. Why have we not yet secured our nation’s railcars and rail infrastructure?

The rapidly evolving railcar technology could potentially allow foreign entities access to our devices and data, but their physical presence poses a different type of threat, which is even more serious. Sensitive materials, such as hazardous wastes and military machinery, are transported across our nation daily. These materials are moved solely by freight railcars. Ensuring that this sector is not compromised by new and evolving foreign threats is essential to maintaining our country’s security, now and in the future. Without our domestic capability to produce freight railcars, we would be vulnerable and dependent on China for a critical piece of our nation’s security infrastructure.

Congress has recognized the severity of the threats posed by China, especially as related to the critical nature of the railcar-manufacturing industry in the United States. Recently, as part of the National Defense Authorization Act (NDAA), the House and Senate passed legislation that modernizes the Committee on Foreign Investment in the United States (CFIUS), which will increase oversight of foreign entities attempting to acquire critical infrastructure.

While this is a major victory, Congress and the Trump administration must continue to step up their efforts in protecting critical infrastructure in the United States. This can be achieved by conducting robust reviews of investments by state-owned companies, creating universal standards for cyber and data integrity when contracting with foreign state-backed entities, and further strengthening Buy America oversight laws. By addressing these measures, the United States can remain one step ahead of China.

A strong, vibrant domestic freight-railcar industry has been essential to our nation’s growth, development, and security. With that legacy now under threat, it’s time for our leaders and policymakers to come together around smart, common-sense solutions to protect the freight-railcar market. Our country’s future depends on it.

Erik Olson is vice president of the Rail Security Alliance, an alliance of freight rail-manufacturing companies, unions, and U.S. interest groups from across the U.S. rail industry looking to ensure the security of America’s railroad system.

Reprinted with permission from The Epoch Times - by Erik Olson

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James
3 years ago

Eventually we will not be able to resist our Chinese masters. We must have lower income tax so we can compete with China. China is imperialist and wants to rule the world.

Cora
3 years ago

Worry about who you vote for….most Dems are going the Socialist route and communism is Socialism’s big brother trying to overtake us all.
It has been tried and tried and has never worked, but over 50% of our young voting folks believe free is the way to go. They are asked who will pay for it and they reply “the government”. What? They are not cognizant of the fact that they will pay for the free stuff via their taxes, if they are working. This faulty thinking harkens back to their Mommy’s and Daddy’s giving them “stuff” and not expecting them to work for what they get.
All 3 of my kids went to college AND paid for their own education and they sure are successful and appreciative of all the have today!

Angela
3 years ago

I’m sure most of you have read books by Pearl S. Buck, who was an American Missionary’s daughter, born in China. She once said, “The Chinese make a good friend, but a frightful enemy.” ’nuff said.

Cookiepress
3 years ago

And many of the vaccines and pharmaceuticals are made there

DJT
3 years ago

Watched Mark Levin on Fox yesterday. His guest was Michael Pillsbury, the Director of the Center on Chinese Strategy discussing his latest of 3 books about the U.S.our role in making “china great”, President Trump is the first to deal with China in a leadership manner – no cashing in behind the scenes as I am sure numerous politicians have done during the past 40 years. Check out his website, I’ll be reading his books.

PaulE
3 years ago
Reply to  DJT

If you seriously want to educate yourself on China’s long-term plans and their methods to achieve them, then read about China’s Silk Road and Belt strategy that is being employed around the world in over 70 countries. Also read the Chinese published white paper on China 2025 that outlines exactly how they plan to dominate the globe by 2025 in 5 crucial areas. Then to top it all off, read Thoughts of President Xi. It is written by the Chinese President and outlines his view for China over the next 100 years. Given he is now President for life and the communist government, under his control, runs or directs virtually everything associated with China, it is the blueprint for how President Xi plans to achieve his goals. Personally, I always prefer to read first person source material on a subject, as it is much more detailed than what can be condensed into even a series of books that attempt to summarize the data. Although, I could see the value of the books you mentioned as a primer to a deeper study afterward on the subject.

Yes, every President going back to Bush the first has been bending over backwards to accommodate China’s expansion for decades. The Democrat Presidents did it because they admired the command and control aspect of communism. They still do. The Republican Presidents did it because their large corporate mega-donors were salivating at the prospect of getting access to a market with over a billion new customers. Of so they thought. They didn’t envision China would be smart enough to demand majority ownership of any venture in China. Nor did they realize that China’s demand to access to all proprietary information of these western companies would allow China to copy and re-produce the exact same product the companies spent years developing in an average of 6 to 12 months at a fraction of the cost. Thus wiping out the business opportunity so many of these companies thought they were going to get in China.

It didn’t matter if it was Republican or Democrat, the same permissive foreign and trade policies were advanced through the WH until President Trump. Which is another reason why the so-called swamp is so desperate to get Trump removed from office. He is exposing far too much of the corruption and incompetence that has existed in terms of our dealings with China and other nations for decades.

Barbara S.
3 years ago

Since we know it…why is this country allowing it???? and this is not the only thing China has it’s hands into…..must be some pretty cheap material if China is willing to undercut so much….kind of like Chinese drywall among other inferior items…..

Sheila
3 years ago
Reply to  Barbara S.

It’s up to Congress to put a stop to it. President Trump could do it too, but he has to signed a bill and be approved by Congress. Perhaps someone should write to President Trump and tell him to do so.

Cora
3 years ago
Reply to  Barbara S.

This country is allowing it, because our politicians never looked beyond the handouts they got by allowing it!!! Use your head and praise God that Trump, continues to see this and is bold and brave enough to confront this issue!
I say DING Walmart too! They import box car after box car because the “ignorants” buy this s—! In the long run the goods are inferior and you cannot find quality goods on the open market to replace the crap you have to return to Walmart because China has put these companies out of business. Say it isn’t so?!

Cathy Witthoeft
3 years ago

Not ONLY all the above which I have been watching and concerned about, (Thanks for reprint-very informative!) but also read article on Communist Leader, Xi Jinping, and the growing persecution of Christians in China. Warnings, verbal alerts, etc. are growing. This adds fuel to our relation with China while the US radical Left grows increasingly violent, intolerant of religious freedom, legal gun use, and etc.! He knows It’s unlikely that Christians and socialism/communism will work in harmony.
PS Go STRONG America on Buy America(n) Act or regulation. Was active Air Force in Medical Supply 1972-1980. You had to have a true signed, Sole Source Justification signed by designated authority to buy other than American.

Barbara S.
3 years ago

we have so spoiled ourselves with the cheap products, cheap food and it’s all coming back to bite us……our President needs to start preaching on “Buy American” again…..we have way too much….cheap stuff…..and the Chinese all along have been sending us cheap unhealthy medicines for far too long…..stop it all…….

James
3 years ago
Reply to  Barbara S.

We must have a lower income tax on everyone so we can compete with China.

James
3 years ago

Xtians can and in many cases are Demoncrats. There are many socialist Xtians.

Ken Dodge
3 years ago

America, find some other place to shop and don’t spend any more money in Walmart.

Sheila
3 years ago
Reply to  Ken Dodge

Ken, for your information, I hadn’t shop at Walmart for over twenty years now and boy am I glad.

Cora
3 years ago
Reply to  Ken Dodge

Amen to Ken!!!

Steve
3 years ago

Seems like a solution might be simple to achieve. The article states that China is under bidding domestic suppliers by 50 percent. Let’s pick a number and say a new US rail car sells for $100000 and that China is offering them for $50000. Set some quota of railcars that can be imported, say no more than 95 percent. Now have the US rail car makers buy the imported cars at the knock down price, bring them into their own shops to inspect the cars from top to bottom and to retrofit all of the technology items mentioned above. Now sell those cars to the railways at full price, and use the profits to keep up our own rail car shops and to subsidize the 5 percent of cars built here, which are being built to keep the knowledge and skills involved in building rail cars alive. If these activities and practices result in a windfall profit for our railcar makers, they should share them with the railroads in the form of discounts on car purchases. No layoffs, no tariffs per se, no lost technology or work skills. If China is taking a loss on each rail car, that’s great. Let them subsidize us if they so choose. We’ll find out how long they choose to bleed red ink.

Carol L. Baril
3 years ago

I am really worried reading all these articles about China’s involvement in too many industries! They are undercutting, stealing and doing whatever they have to to control everything in the world!!!! Talk about the soviet dream of everyone under communism! And America worries about being offended!!! How immature and petty have we become while China is taking over everything!!! Lord have mercy on America!

Sheila
3 years ago
Reply to  Carol L. Baril

Carol, I feel the same way as you do regarding about China’s involvement in a lot of things. I hope that President
Trump will put a stop on this. It’s getting too much now and I hope it’s time that we stopped China’s involvements and starts doing our own industries. Yes, Lord have mercy on America!!!

PaulE
3 years ago
Reply to  Carol L. Baril

If this article upsets you, then you definitely should not read the China 2025 white paper that outlines how China plans to replace the United States in five major key areas encompassing technology, military, trade and other critical components of global dominance. The paper was published last year, but of course our wonderful msm opted not to devote much coverage to it. 2025 is only 7 years away.

Also don’t read about the China Silk Road and Belt initiative, where China has already roped in over 70 countries by loaning them money for major infrastructure projects these countries can’t afford to pay back. Then China waltzes in and offers to re-negotiate the re-payment of the loans in exchange of getting control of major shipping ports, air fields, natural resources. Anything those countries have of value, that China gets control of in perpetuity for pennies on the dollar.

This article just touches on a very, very small sample of how China is systematically gaining “sole source” advantage in the world economy. Until Trump, no world leader in the last 25 years has done a thing to push back against China’s plan to become the dominant global super-power before mid century. Amazing huh?

Angela
3 years ago
Reply to  Carol L. Baril

Carol, You’re right. We should start making computers in America, this way we know they are “clean”. We can’t trust any country.

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