China and Taiwan are inching toward conflict.

0:00 Speaker 1 What is today is Congressman Mike Gallagher, and he is one smat guy. He is on the Armed Services Committee, Homeland Security Committee, and Transportation and Infrastructure Committee. And from the great state of Wisconsin. Well, Mike Gallagher, tell us what the heck is going on?

0:20 Speaker 2 Well, we were just in your neck of the woods, John, in New York. We brought the Select Committee on China to New York to really engage with leaders on Wall Street asset managers, bankers who I think it’s fair to say, tend to have a different view on China than I do than members of the committee do, a more duvish view,

0:40 but we wanted to engage them candidly. We conducted a war game with a lot of those leaders to examine what would happen to the global financial system in the event China invaded Taiwan, and of course, the results were extremely sobering, and it emphasized the need for us to take action now, to take action on things like cutting

1:00 off the flow of US money to Chinese military companies, which remarkably is happening right now. We are, in some meaningful sense, funding our own destruction by allowing investments in Chinese military companies that are of course building things designed to kill Americans in a future conflict. And then we held a field hearing in New York to talk through

1:21 the systemic risks associated with investing in China. So that was the purpose of the visit and it was very, very fruitful and productive visit.

1:29 Speaker 1 Well, a Congressman, I’ve been on Fox or Week talking about that. By raising the price of oil crew oiled up to ninety dollars a battle though where it is now, and President Biden cutting down the supplies in Alaska instead of increasing supplies, Russia is making a billion dollars a day and we’re funding Russia for all their wars. I mean,

1:57 we’re providing the money for the wars.

2:00 Speaker 2 It’s crazy. I mean it’s the height of insanity. And it just gets to the broader problem with the Biden Administration’s energy policy. And really this is one of the biggest weaknesses in our approach to China. We should have a massive advantage relative to China when it comes to energy because we have such deep resources and they have

2:19 such severe energy needs. But because of this Green New Deal policy that Biden is pushing, we’re actually making ourselves dependent on China for the production of batteries. We have American car companies that are taking Inflation Reduction Act dollars like Ford and forging partnerships with massive Chinese battery companies.

2:41 So your taxpayer dollars are subsidizing the growth of Chinese battery companies. It’s absolutely absurd. And when it comes to the Middle East, I mean, everything you said is right, but there’s also just the pure geopolitical reality, which is the Biden administration, by attempting to revive the Iran Deal, is alienating all our traditional ally in the region, Israel,

3:02 the senior of Gulf States. Obviously there’s tensions in the relationship with Saudi Arabia. So all this is creating international chaos. And that’s why we need a better president. We need a new president come January twenty twenty five.

3:14 Speaker 1 I agree one hundred percent. I mean, it’s crazy when you say we’re providing all the money to destroy the Ukraine by Russia and then we’re going to provide all the money to build it up again after the war is over.

3:29 Speaker 2 Exactly, it’s completely differful.

3:31 Speaker 1 I mean, it’s it’s kind of big, aren’t Are the American people crying? Or are they’re laughing. I mean, it’s crazy what’s going on. It’s all our dollars.

3:42 Speaker 2 Yeah, And I think that’s why you’re seeing and I say this as someone who’s supported you know, clinical targeted legal assistance to Ukraine, but you are seeing you know, growing skepticism among the American people on you know, what’s going on there, and asking, I think rightly for better articulated end state and a better strategy. I mean, I

4:03 want Ukraine to win. I think the fact that we’ve been able to degrade, or the Ukrainians have been able to fight bravely and degrade the Russian military off the ground is good for NATO. It’s actually good in terms of.

4:15 Speaker 1 What kind of what kind of war is it? When President Biden tells the Ukraine, Uh, you know, you could fight the war in Ukraine, but we don’t want you crossing the border into Russia.

4:29 Speaker 2 Well, this is this has been the pattern from the start with the Biden administration. It’s they’re so afraid of provoking Russia that they don’t do what’s necessary to actually to actually win or allow the Ukrainians to win. And it is it is their fear of provocation that I actually think emboldens our enemies. So they’re constantly waiting and

4:51 waiting and waiting until the last second, and then they put in place half measures and it just makes us look weak. And it’s been a consistent pattern with this administration.

5:00 Speaker 1 Understood anything else you want to tell the American.

5:03 Speaker 2 People, Well, you know, I think, having spent a couple of days in New York, maybe a positive thing is I do think there’s a growing recognition that there are significant risks associated with doing business in China, and even businesses that have massive, massive presence there are seeking to diversify their supply chain. It’s not going to happen overnight,

5:28 but it’s all the more reason why we in Congress need to act now to force it before it’s too late. Because having just conducted a war game in a twenty twenty eight scenario, I tell you things got pretty ugly really quickly. And if we continue on the status quo and we don’t do key things like you know, on

5:44 sharing the production of critical manufacturing or rebuilding our military, we’re going to run out of options very quickly. So we just we need to act to force too late.

5:54 Speaker 1 Well, the the the big item of our military is are we catching up with China on the hypersonic missiles because China has them and we were behind the curve?

6:08 Speaker 2 Yeah, and we’re not. We’re not catching up. And you mentioned hypersonics. There’s also this issue of hypersonic defense. How do we defend against Chinese hypersonic missiles? And there we’re even further behind. But put aside those advanced missiless just even just basic rudimentary missiles that we would need to think Chinese ships if we found ourselves in the conflict,

6:31 there were not even we haven’t even moved to maximum production rates for things like long range anti ship missile, naval strike missile SM six. This is all the stuff we need. They’re relatively low cost relative to the big aircraft carriers and the destroyers and the thirty five that we tend to spend money on. But even having seen

6:51 what we’ve seen in Ukraine, which is that we run out of stockpiles of communitions pretty quickly, this administration still hasn’t taken the requisite steps to start rebuilding our industrial based and our stockpiles with key missiles. That to me, is the number one thing we need to do.

7:05 Speaker 1 Understood, Thank you so much, Congressman Gallagher and thank you for protecting our country and God bless you and God bless America.

7:14 Speaker 2 Thank you, sir,