Trump’s ban of Huawei is much more serious than you think.

American technology and intellectual property played a key role in the development of China as the world’s leading electronics manufacturer. Chinese businesses import $557.9 billion of goods from the U.S.

The collaboration of American innovation and Chinese skilled labor are responsible for the smartphone revolution.

Trump’s ban of Huawei as an executive “emergency order” in the name of “national security” threatens the current world order. China needs American innovation to power its manufacturing basis in the short term. If they are forced to, however, they will develop their own Silicon Valley.

Given the greater efficiency, expertise, lower regulatory burden and superior scale of Chinese manufacturing, within a few decades, China will outcompete high-tech manufacturing in America. Intel, ARM, Microsoft, Google, and many more companies will lose access to a global market.

Nothing about Huawei or Chinese companies is very special. Many Asian countries engage in the same practices. No one will trust supply lines that the president can arbitrarily disrupt under arbitrary “national security” orders.

We may be seeing the first rounds in the fall of the American empire.