'They Don't Play By The Same Rules,' Kevin O'Leary Says, Citing Uneven Legal Systems, Rising US-China Trade Tensions
On Saturday, Investor Kevin O’Leary warned that American companies face unfair business conditions in China as trade and geopolitical tensions between the two countries continue to rise.
O'Leary Warns On China Trade Risks
In a post on X, O'Leary acknowledged that China remains too important for global companies to ignore because it is "the second largest market in the world."
However, he argued that many Western firms believe the business environment in China is fundamentally unfair.
"The problem is they don't play by the same rules," O'Leary wrote.
He claimed companies have spent years dealing with "intellectual property theft, uneven legal systems, and an environment where American businesses don't get the same protections or leverage Chinese companies receive."
O'Leary said the debate surrounding China has shifted beyond economics and into national strategy.
"That's the real dilemma, how do you do business with a market that many now see not as a partner, but as a strategic competitor?" he said.
He added that this perception has fueled support for tariffs and stricter trade policies in the United States.
O'Leary also emphasized that his criticism was directed at the Chinese government, not Chinese citizens.
"This isn't about the Chinese people, it's about the actions and ambitions of the Chinese government," he wrote.
US-China Trade Deal
China and the U.S. reached a tentative deal in Beijing to lower tariffs and ease trade barriers following high-level talks and a summit between President Donald Trump and Xi Jinping, though markets reacted cautiously amid limited concrete breakthroughs.
Both sides agreed to modest tariff reductions and to expand agricultural trade discussions while addressing market access issues.
On Friday, Xi warned that Taiwan remained the "most critical matter" in U.S.-China relations and said mishandling it could trigger serious conflict, while urging Washington to proceed with "extreme caution."
He also emphasized continued economic cooperation and openness to foreign firms.
Meanwhile, O’Leary said he planned a large AI data center project in Utah, arguing it would generate its own power and help the U.S. compete in AI infrastructure.
He also said China was ahead in the AI race due to faster energy and infrastructure buildout, underscoring rising competition between the two global powers across trade, security and technology.
Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
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