Former Trump official Nazak Nikakhtar warns of a U.S. economy without manufacturing following China’s export control on industrial diamonds.
WASHINGTON—A call to action has been made by a former Department of Commerce official to address the growing threat of the U.S. supply chain’s reliance on China.
While China’s dominance in sectors like steel, batteries, solar cells, and personal protective equipment is well known due to tariffs imposed by both the Trump and Biden administrations, China’s control over lab-grown industrial diamonds is equally critical but less recognized.
Diamonds for Industrial Power
Industrial diamonds, also known as “super hard materials,” are part of China’s strategic plan to dominate advanced manufacturing globally through initiatives like “Made in China 2025.” Since 2012, the Chinese regime has classified diamond manufacturing as a “strategic new sector” and provided significant subsidies to businesses in this industry.
“Imagine a U.S. economy with zero manufacturing,” Nikakhtar cautioned.
USGS data reveals that the United States lacks a stockpile of industrial diamonds, with domestic production meeting only 16 percent of the total volume needed in 2023.
“It’s time to wake up. China’s intentions are clear. We must take action now,” Nikakhtar emphasized. “China’s recent export controls demonstrate its ability to impact the U.S. economy significantly.”
In the last eight decades, Congress has granted the president extensive authority to set tariff rates to protect national security interests. Both the Trump and Biden administrations have utilized tariffs to address unfair trade practices.
Nikakhtar expressed confidence in the new administration’s ability to leverage legal mechanisms to apply tariffs effectively as the U.S. addresses the challenges posed by China’s dominance in various industries.
