The Covid-19 pandemic has made one thing absolutely clear: China is the workshop of the world. This has significant strategic and geopolitical implications. By playing its initially weak hand to perfec­tion, China transformed its position of dependence into one of dominance during the last several decades. The highly touted inter­dependence of countries in manu­facturing processes is, in fact, asym­metrical. The United States and Europe are reliant on China for in­puts of intermediate goods used for manufacturing output; China is not reliant on either. This asymmetry is intensifying. China’s value-add in manufacturing has been increasing, while its use of U.S. inputs is decreasing

In his paper, authors Dan Breznitz and David Adler consider the possibilities for economic gain as a result of reshoring production in America, and set forward a practical policy agenda contemplating how to do so.

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