Many of my conservative friends are spinning their wheels with pea-shooter-gauge measures against China—kicking Chinese companies out of the U.S. stock market, for example. On Dec. 10 the U.S. government canceled an initial public offering for the Chinese AI startup SenseTime, whose facial recognition software may help Chinese authorities identify Uyghurs. Two weeks later SenseTime moved its IPO to Hong Kong; it rose 44% in the first two days of trading. China has a trade surplus, $3.2 trillion in reserves, and a 40% savings rate. It is an exporter, not an importer of capital. American capital markets are a convenience, not a necessity for Chinese companies.
