The US-China Economic and Security Review Commission (USCC) recently held a critical hearing focusing on the escalating threat of “China Shock 2.0” and its devastating impact on US supply chain security. The hearing, titled “Dominance by Design: China Shock 2.0 and the Supply Chain Chokepoints Eroding U.S. Security,” featured expert testimony and insightful discussions on this pressing issue.

The event kicked off with opening remarks from the co-chairs, setting the stage for a comprehensive examination of the challenges facing the United States. The agenda was meticulously structured to provide a detailed analysis, beginning with:

Panel I: The Emergence of China Shock 2.0 and Risks to the United States (9:40–11:00 a.m. ET)

• Adam Wolfe (Emerging Markets Economist, Absolute Strategy Research)
• Nora Todd (former special assistant to the president and senior director for International Economics and Labor, White House)

This panel delved into the origins and implications of “China Shock 2.0,” assessing the specific risks it presents to US economic and national security.

Following a short break, the hearing continued with:

Panel II: Preparing for China’s Counterpunch: Vectors for Supply Chain Coercion (11:10 a.m.–12:50 p.m. ET)

• Stephen W. Schondelmeyer (professor of Pharmaceutical Management & Economics and Director of PRIME Institute, College of Pharmacy, University of Minnesota)
• Jeroen Groenewegen-Lau (head of Program of Science, Technology and Innovation, MERICS)
• Sarah V. Stewart (CEO and executive director, Silverado Policy Accelerator)
• David Schild (executive director, Printed Circuit Board Association of America (PCBAA))

This panel focused on proactive strategies to mitigate the risks associated with China’s potential use of supply chains as a tool of coercion. Experts discussed potential vulnerabilities and offered insights into developing resilient and diversified supply chains.

This hearing highlights the growing concerns surrounding US reliance on China for critical goods and services. The insights shared by these prominent experts are crucial for policymakers and businesses alike as they navigate the complexities of this evolving geopolitical landscape.