China media call for 'de-Americanized world'

David Jackson | USA TODAY

Economic allies and competitors of the United States are taking a dim view of the government shutdown and looming default — notably the nation's biggest creditor, China.

An op-ed by the China state news agency Xinhua calls on other countries to rely less on the United States — and forge a "de-Americanized world" for the future.

"As U.S. politicians of both political parties are still shuffling back and forth between the White House and the Capitol Hill without striking a viable deal to bring normality to the body politic they brag about, it is perhaps a good time for the befuddled world to start considering building a de-Americanized world," said Xinhua.

China has more than a passing interest in a possible U.S. default; it is by far the biggest holder of American debt, some $1.28 trillion.

Xinhua also editorialized: "Days when the destinies of others are in the hands of a hypocritical nation have to be terminated, and a new world order should be put in place, according to which all nations, big or small, poor or rich, can have their key interests respected and protected on an equal footing."

From NBC News:

"Should Congress not come to an agreement by Thursday's deadline on a new raised debt ceiling — the upper limit set by Congress on the amount of money the Federal government may borrow — China's potential losses stand to be devastating.

"Prior to Sunday's commentary article, Chinese officials had been more measured in their analysis of the U.S. budget impasse. Last week, Vice-Finance Minister Zhu Guangyao noted only that 'we have to see that the clock is ticking.' ...

"The Xinhua commentary may raise eyebrows in Washington, but Beijing's frustration underscores a key point: Despite a desire to diversify its holdings, the Chinese government continues to buy U.S. Treasury bonds out of political and economic necessity.

"As long as China's domestic growth and stability are boosted by American debt, the deep ties between the two countries will likely endure."