China's largest export is its domestic economic dysfunction, which crushes other countries' manufacturing and industrial bases worldwide while the US exports its political and cultural dysfunction — meaning the two superpowers are holding the world hostage.
Rahm Emanuel argues that both China and the US are dumping their domestic dysfunction on the rest of the world — China through economic dysfunction that destroys foreign manufacturing, the US through political and cultural dysfunction that destabilizes allies. ✦ AI generated
Rahm Emanuel · All-In Podcast · 2026-08-13 · original ↗
starts at this moment · 5:37
“Did Obama export American democracy as a point of primary policy? And did that lead to this world that we find ourselves in today where there's this pullback because a lot of what gets exported ends up being kind of one side of the political spectrum, not the other.”
Xi is largest export is not autos electronics. It's the domestic economic dysfunction of China. They're crushing everybody other countries manufacturing base industrial base across the world. They have more cases WTO cases than any other country and all of them combined are against China. Chile steel plant, Indonesia's garment plant, Brazil's four burn furnaces. We are exporting our domestic political and cultural dysfunction. That is the two superpowers are holding the world hostage. One through economic dysfunction and domestic. I mean Xi refuses to deal with the obviously the real estate bubble popping a consumer that's flat on their back and an industrial base that makes no rational sense.
verbatim transcript · starts at 5:37
5:37uh by Xi and Trump. Mhm. I'm uh I'm going to I'm labeling it the summit of disruption. Xi is largest export is not autos electronics. It's the domestic dis economic dysfunction of China. They're crushing everybody other countries manufacturing base industrial base across the world. They have more cases WTO cases than any other country and all of them combined are against China. Chile steel plant, Indonesia's garment plant, Brazil's four burn furnaces. We
6:10are exporting our domestic political and cultural dysfunction. That is the two superpowers are holding the world hostage. One through economic dysfunction and domestic. I mean Xi refuses to deal with the obviously the real estate bubble popping a consumer that's flat on their back and an industrial uh base that makes no rational sense. And so they're I mean literally their as an example their auto industry is now exporting more cars and their
6:40profits are down 20%. >> Right? >> We I mean by uh through Trump you can look at what he's doing in Brazil 9 days before the German election meeting with the neo-Nazi party the AFD there was race tensions uh in Great Britain. We seem to we want to exacerbate them. We are literally exporting both political and cultural dysfunction at our home onto the world. Uh now I happen to think this president
7:07stylistically likes to punch down and kiss up to Putin and Xi, but that's a stylistic point. But that's what the two superpowers, they don't seem to have managed their internal and now they're exporting it on the rest of the world as a a dumping ground for their domestic problems. I happen to think coming back from Japan etc. that rather than have tariffs we should have an economic block so all of
7:32us together can withstand China to actually organize not only that economic block but then kind of other pe uh meet them in the marketplace. That's how we you know win friends and influence enemies. >> Yeah. Is that a different view than the Obama era notion that we should be exporting American culture, American democracy, I think was the framing. And that then opened the floodgates to exporting our
8:00culture wars. And then our culture wars became this kind of battleground where there's like transgender theater in Africa and like things, right? All of this stuff. >> No, I don't think that's what opened the door. Uh, look, David, I think the United States of America, like every country, has four tools in their national security toolbox. One is military power, second is political persuasion, third is economic statecraftraft, and
- ·China's largest export is its domestic economic dysfunction, not autos or electronics
- ·It crushes other countries' manufacturing and industrial bases worldwide
- ·US exports its domestic political and cultural dysfunction, destabilizing allies
- ·Together the two superpowers hold the world hostage
- ·China has more WTO cases than any other country combined
- ·Cases include Chile's steel plant, Indonesia's garment plant, Brazil's furnaces
- ·Unresolved domestic problems: popping real-estate bubble, flat consumption, illogical industrial base