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Billionaire investor Stanley Druckenmiller said the US government was not planning a potential trade war with China by protecting domestic coal and steel companies while targeting Big Tech.
I am not a nationalist, but if we are in a kind of conflict, we are going to fight among the big tech companies, not our aluminum and steel companies, and we are going to be running.
Druckenmiller, a former hedge fund manager, said on Tuesday that the Chinese government remains supportive of Huawei Technologies Co. Ltd. and relaxed restrictions on companies such as Alibaba Group Holding Ltd.
Baba, + 3.00%
and Tencent Holdings Ltd.
700 -1.92%
in the escalation of trade tensions between the United States and China. He compared this to the American approach to regulating Big Tech, which he called "throwing sand into the gears and making life miserable".
See more: Why a cautious Stanley Druckenmiller crammed into Treasurys and into Chinese technology
The remarks come after the actions of Facebook Inc.
FB + 2.02%
and Alphabet Inc.
GOOGL, + 1.11%
GOOG, + 1.21%
Monday's trading was a big success as regulators planned to investigate whether their activities were anti-competitive. Apple Inc.
AAPL, + 3.52%
and Amazon.com Inc.
AMZN, + 1.85%
have seen their inventories decline, to a lesser extent, after similar reports.
"If you are planning an economic war with China and you are planning for the future, where are you fighting the war?" Asked Druckenmiller. "For me, you fight against artificial intelligence, you head for the future." China "is crazy about their high-tech machine," he said.
Another topic of discussion between Druckenmiller and moderator Scott Bessent of Key Square Capital Management was whether Chinese Xi Jinping was less likely than President Donald Trump to punish companies he personally disliked leaders.
Bessent said the Chinese president "could not stand Huawei's president," while Druckenmiller pointed out that Huawei was China's "champion" and that Xi was now "partners" in the company. Trump, meanwhile, "does not really like Mr. Bezos," said Druckenmiller. Jeff Bezos is the managing director and the largest shareholder of Amazon. He is the owner of the Washington Post, which has published critical reports with respect to Trump.
Opinion: Big Tech is now on the federal government's target list for its anticompetitive tactics, but will anything really change?
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