US not looking for conflict with China says Joe Biden in first speech to Congress

Joe Biden says the US is ‘in competition with China to win the 21st century’ and he’s told Xi Jinping he won’t back down in the Pacific.

President Joe Biden has declared the US “in a competition with China to win the 21st century”, revealing he has told the Chinese leader the US would not back down in the Pacific and would not let China get away with human rights abuses.

In his first — and most wide-ranging — speech to Congress since becoming president in January, Joe Biden said he told President Xi China the US would maintain a strong military presence in the pacific region and “stand up to unfair trade practices”.

Deviating from his prepared remarks, President Biden said that was China “deadly earnest about becoming the most significant consequential nation in the world.”

“In my discussion with President Xi, I told him that we welcome the competition – and that we are not looking for conflict. But I made absolutely clear that I will defend American interests across the board,” he said.

“I also told President Xi that we will maintain a strong military presence in the Indo-Pacific just as we do with NATO in Europe — not to start conflict — but to prevent conflict,” he added.

President Biden’s 67-minute speech also foreshadowed radical reforms of US social policy, including adding four years of free childcare and college education for all Americans, which would shift the US significantly in the direction of the European social welfare model.

Addressing a slimmed down, Covid-safe chamber of around 200 dignitaries, the president announced a third “American families” spending bill worth $1.8 trillion, which brings total new proposed spending under the Biden administration to $6.4 trillion – a biggest increase than any US government has attempted ever.

Standing in front of Vice President Kamala Harris and House of Representative Speaker Nancy Pelosi – the first time two women have occupied those posts simultaneously – President Biden outlined the most ambitious reform agenda the US has seen since the Great Society reforms of the 1960s.

Vice President Kamala Harris (L), and Speaker of the House Nancy Pelosi (D-CA), talk before the start of President Joe Biden's address.

“Tonight, I come to talk about crisis — and opportunity. About rebuilding our nation — and revitalizing our democracy. And winning the future for America,” President Biden aid. “After just 100 days, I can report to the nation: America is on the move again,” he added.

Dubbed “a radical, socialist agenda” by former secretary of state Mike Pompeo, President Biden said 12 years of education was no longer enough, flagging plans to fund two years of childcare for all American children aged 3 and 4, and two years of community college for school leavers.

“And we will increase Pell Grants and investment in Historically Black Colleges and Universities, Tribal colleges, and minority-serving institutions,” he said.

The President also stressed the job-creation benefits of his previously announced $2.4 trillion infrastructure package – yet to receive congressional endorsement - which includes significant subsidies to renewable energy projects.

“For me, when I think about climate change, I think jobs. There’s no reason the blades for wind turbines can’t be built in Pittsburgh instead of Beijing. No reason why American workers can’t lead the world in the production of electric vehicles and batteries,” the president said.

President Biden said his government would, without breaking any trade agreements, be “guided by one principle: “Buy American.

“American tax dollars are going to be used to buy American products made in America that create American jobs. The way it should be,” he said.

“America will stand up to unfair trade practices that undercut American workers and industries, like subsidies for state-owned enterprises and the theft of American technologies and intellectual property,” he said, in remarks directed at China.

The President flagged an increase in the top marginal tax rate to 39.6 per cent, where it was during the Bush and Obama administrations, arguing the top 1 per cent of Americans needed to pay their “Fair share”.

“A recent study shows that 55 of the nation’s biggest corporations paid zero in federal income tax last year,” he said.

“We’re going to get rid of the loopholes that allow Americans who make more than $1 million a year pay a lower rate on their capital gains than working Americans pay on their work,” he said, flagging a “crackdown” by tax authorities on very high income earners.