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<v Speaker 1>China has so many power plants that have been built

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<v Speaker 1>and are being built. I don't think people quite realize this.

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<v Speaker 1>I posted on my ex account just the graph of

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<v Speaker 1>US power generation versus China power generation, and China power

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<v Speaker 1>generation is like looks like a rocket going a little

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<v Speaker 1>bit and US power generation is flat. Right. So I

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<v Speaker 1>think by the end of this year, China will have

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<v Speaker 1>about two and a half times the power output of

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<v Speaker 1>the United States, and it's headed towards maybe three or

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<v Speaker 1>four times the power output of the United States.

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<v Speaker 2>It's funny when think about China, I mean evs autonomous.

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<v Speaker 2>We talked about batteries, solar power generation, by the way,

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<v Speaker 2>even biotechnology recently, I don't know if you saw Pfizer's

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<v Speaker 2>licensing cancer drugs. Yeah, they seem to be I don't know.

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<v Speaker 2>I'll ask you the question, are they ahead of us

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<v Speaker 2>in certain areas that are important?

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<v Speaker 1>The United States still has an advantage in breakthrough innovation,

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<v Speaker 1>But so it's the United and I think it's it's

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<v Speaker 1>somewhat of a cultural thing, which is that to have

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<v Speaker 1>breakthrough innovation, you have to question authority that fundamentally, your

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<v Speaker 1>break through, your your You're questioning the conventional wisdom when

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<v Speaker 1>you do a breakthrough innovation, and in China that that

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<v Speaker 1>I don't generally like to question the authority or that's

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<v Speaker 1>that's just that's not it's not as encouraged as it

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<v Speaker 1>is in the US.

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<v Speaker 2>Questioning authority does seem to be good at finding something

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<v Speaker 2>and then making it better.

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<v Speaker 1>Yeah, I just I do what says that the sheer

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<v Speaker 1>number of smart, talented people in UH in China who

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<v Speaker 1>work very hard is amazing that the amount of that's

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<v Speaker 1>just the share quantity of talent. I mean, I'm an

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<v Speaker 1>admirer of of of China's capabilities. I think I think

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<v Speaker 1>most people outside of China do not understand the power

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<v Speaker 1>of China. It really is something something special.

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<v Speaker 3>And I think that's the exact point that a lot

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<v Speaker 3>of a China bulls out there are talking about, and

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<v Speaker 3>this is something they're saying that the Western world doesn't

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<v Speaker 3>really understand the talent factor. And even when it comes

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<v Speaker 3>to AI. He seemed to hesitate a little bit when

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<v Speaker 3>the question from David Favor was really trying to compare

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<v Speaker 3>the US and China when it comes to how embedded

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<v Speaker 3>AI is, and he instead decided to talk about how

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<v Speaker 3>it's difficult for Chinese companies to perhaps say no to

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<v Speaker 3>the authorities because of the cultural difference and so on.

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<v Speaker 3>But I think, you know, with that, I think he

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<v Speaker 3>was trying to insinuate that there is that amazing capabilities

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<v Speaker 3>that he is appreciating about the Chinese economy.

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<v Speaker 4>Yeah, indeed, we'll get more about I we'll talk more

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<v Speaker 4>about Chinese just a bit. But you know, the US

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<v Speaker 4>side of it and the energy. I mean, the fact

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<v Speaker 4>of the matter is the US is finally now energy independent.

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<v Speaker 3>Right.

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<v Speaker 4>The resources are there, right, they're net exporters of energy, right,

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<v Speaker 4>It's more the ability to convert that energy, whether it's

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<v Speaker 4>oil or shale or whatever, or net gas right into

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<v Speaker 4>power and electricity. I think that's where the US is

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<v Speaker 4>clearly falling short of China. And China, as we all know,

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<v Speaker 4>is leading the world in renewable energy right whin hydro solar,

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<v Speaker 4>et cetera, and also building a heck of a lot

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<v Speaker 4>of nuclear plants. But on to the point about you know,

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<v Speaker 4>Musk saying that, you know, yeah, they're cracking out a

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<v Speaker 4>lot of degree holders, and you know, filing a lot

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<v Speaker 4>of scientific patents, and there's just so many smart people,

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<v Speaker 4>so much gray matter in China. But you know, innovation

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<v Speaker 4>has its limits when you're in a system where you

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<v Speaker 4>can't buck authority. I want to push back on that

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<v Speaker 4>because what a lot of people say is, you know,

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<v Speaker 4>even in that kind of top down communist system, right,

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<v Speaker 4>there's a lot of decentralization. Right, she's in pain and

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<v Speaker 4>the Paul Beer may say whatever they want, right, but

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<v Speaker 4>it's going to be down to the provinces to actually execute.

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<v Speaker 4>I think that's where as we saw it with EV's

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<v Speaker 4>and we're likely to see with AI as well, they

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<v Speaker 4>pretty much made their own decisions. In fact, historically that's

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<v Speaker 4>been one of the biggest problems for the central government

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<v Speaker 4>controlling the provinces.

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<v Speaker 3>I think the question boils down to when the control

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<v Speaker 3>is exercise. So I think over the past years and

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<v Speaker 3>EV is a good example of that, and that this

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<v Speaker 3>is actually the point that Louis Vincent gov was talking

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<v Speaker 3>about on our air just a few weeks ago, that

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<v Speaker 3>they let them go the private companies to do your thing,

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<v Speaker 3>figure it out, and we will let you innovate. At

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<v Speaker 3>some point the central government would come in and say, okay,

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<v Speaker 3>so there are too many of you, perhaps you can

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<v Speaker 3>consolidate with A and B and the CND, and then

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<v Speaker 3>we have actually a very powerful influence in this particular

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<v Speaker 3>sector that has been the China playbook. And perhaps that's

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<v Speaker 3>what's been happening, not just evs but in other sects.

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<v Speaker 4>And I tell you what, you know, there's nothing that

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<v Speaker 4>generates innovation and new ideas than that kind of competition.

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<v Speaker 4>It is brutal, it is cut through it, and you're right,

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<v Speaker 4>you know. There are times when the Chinese government steps

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<v Speaker 4>in and says, okay, look this is messy, inefficient, Look

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<v Speaker 4>you merged with you merged with you. Other times the

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<v Speaker 4>Chinese government just stands aside and goes, okay, so you

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<v Speaker 4>didn't make it. You failed too bad. Right, they're waiting,

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<v Speaker 4>they're letting these guys fight it out, and they're waiting

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<v Speaker 4>to see, okay, so who's got what it takes to

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<v Speaker 4>make it? And ah, okay, so you did despite all

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<v Speaker 4>the challenges. So all right, you deserve to be a champ.

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<v Speaker 3>Backly, so, Louis gov was talking about how because it's

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<v Speaker 3>a communist system that it's not going to work economically.

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<v Speaker 3>That is the misconception that he wanted to point out,

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<v Speaker 3>And maybe that is really the thing that we're going

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<v Speaker 3>on about I do want to have a line on

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<v Speaker 3>power transformer. Sorry, because Elon Musk was talking, I thought

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<v Speaker 3>it was really cute when he was saying the transformers

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<v Speaker 3>needing transformers for transformers, power transformers. The top exporting, top

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<v Speaker 3>exporting countries to the United States, Get this, Mexico. That

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<v Speaker 3>was a surprise to me. South Korea, China, and Germany. Yeah,

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<v Speaker 3>who is at an advantage. I think it's very interesting

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<v Speaker 3>to look at this massive rally that we've been seeing

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<v Speaker 3>in South Korea's power transformer sector. They had a massive

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<v Speaker 3>rally on the US export story. Does this continue with

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<v Speaker 3>Elon Musk himself talking about how there is that shortage

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<v Speaker 3>coming up?

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<v Speaker 4>Don't know, watch this space exactly all right,